CALIFORNIA - Frequently Asked Questions
What Do We Do?
So we can determine the extent we will be able to help modify your problem home loan, we first need to conduct a comprehensive review of your loan and financial documents, and other personal information. We use this initial information to determine the extent to which your particular circumstances warrant relief under the various loan modification programs available.
What Can You Expect to Happen Once You Retain FMG To Assist You With Obtaining a Loan Modification?
After our receipt of the signed retainer we send to you, and the complete Mortgage Mitigation Application package is returned by you to FMG, you can expect the following to occur:
Generally, FMG will provide legal services to you in the form of assisting you to seek practical ways to improve your present real estate debt structure, including the following four services: (1) assisting you with gathering the information necessary to submit your file for modification with your lender, (2) pre-underwriting the file for submission to the lender, (3) reviewing and preparing your file for submission to the lender to give you the best possible chance at receiving a modification offer, and (4) planning submission of your file to the appropriate department with the your lender for consideration of mortgage mitigation. Our services are further explained as follows:
(1) Information Gathering: Various lenders require different types of information to be gathered for submission for modification. The average homeowner is often unaware of what information needs to be provided to his/her lender to start the modification process. Submission of incomplete or incorrect documentation can often substantially delay a modification request, or even cause the modification application to be denied outright. FMG has the knowledge, training and experience with most lenders to prepare you a complete package of the mandated documents that will provide you with the best opportunity to obtain favorable and expedient consideration of your modification request.
(2) Pre-Underwriting: FMG’s staff and consultants have expertise in the mortgage industry as a whole and in loan modifications specifically. FMG is uniquely qualified to process the large amounts of data lenders ask to review for modification and to package that information together in a coherent manner that allows us to “pre-qualify” your file and to render an opinion to you regarding whether or not you are a good candidate for modification. By using the raw data you provide and then applying FMG’s own resources and expertise to calculate our Client’s debt-to-income ratio, property value based on relevant comps in the area, gross versus net income, and other different metrics used by the various lenders, FMG is able to provide you with an opinion up front about the likelihood you will qualify for a modification with your particular lender. By utilizing FMG’s services you can be more confident about your chances of retaining your home and hopefully obtaining the best modification offer available and in much less time than you could receive on your own.
(3) Review/Preparation for Submittal: Each lender varies in the nature and extent of preferred data that is reviewed by them when a modification request is submitted. FMG and its consultants have specialized expertise that allows us to gather together the information each client provides and package it so that the financials and other relevant information are submitted in hopefully the best possible form and manner that your particular lender is looking for when considering a modification request. Through our experience in successfully assisting many clients seeking modification or other forms of mortgage relief, FMG has become skilled in dissecting a client file and reconstructing it and repackaging it in the most favorable manner that will foster a speedy resolution of your modification request.
(4) Planning Modification Package Submittal: FMG has an extensive database of lender contact information that we utilize to ensure each client’s file is submitted to the proper department or individual within the client’s lending institution. That way the file is uploaded, assigned more quickly, and consideration of the modification request is rendered in the most expedient manner possible. While regular follow up once a file is submitted indeed is also of substantial importance to moving the request along, submitting a well-qualified file to the right person in the first place is the initial key to obtaining a timely modification. At the Client’s option, as a courtesy FMG will submit the file directly from FMG to the lender(s), or will provide Client with the appropriate information to submit the file to their lender(s).
Will You Actually Negotiate With My Lender On My Behalf?
The scope of services covered by FMG’s Primary Contractual Agreement does not include any direct negotiations by FMG on your behalf with the lender after your pre-qualified modification request has been submitted to your lender. However, FMG is willing and able to provide such negotiation services to any client under a separate written agreement negotiated between FMG and Client. Any such negotiation services will be provided at a nominal fee because FMG firmly believes that the primary key to successful modification begins and ends with the proper preparation of the modification package submitted to the lender. That said, FMG’s negotiators are experienced and skilled at traversing the lenders’ various paths toward mortgage mitigation, and retaining FMG to provide negotiation services may save you hours of both time and frustration as the negotiation process moves forward.
How Long Will The Process Take?
Assuming you otherwise qualify, and that the lender and you are able agree to an acceptable modification of your home loan, the loan modification process typically takes between 90-150 working days from submission. As to FMG’s role in pre-qualifying you and preparing your application for submission, timing can vary based on client cooperation and active participation in the process.
Why Use An Attorney to Seek Mortgage Mitigation?
FMG and its staff are trained on how to best process a loan modification request. We know the law and how to apply the law to your best advantage. The flat fees earned by FMG under the primary contractual agreement are for preparing a file that has the best chance of qualifying you for a modification. Should you choose to subsequently retain FMG for its negotiation services under the secondary contract, the flat fees earned by FMG are for obtaining an offer of modified loan terms from your lender or loan servicer. In either case, the objective is to position your case so that you hopefully are provided with the best possible loan modification offer, whether or not these negotiated terms ultimately are accepted by you.
There of course are no guarantees on how long it will take you and your lender to reach an agreement on an acceptable loan modification, if ever, or that the lender even will offer any loan modification, or that you or FMG can actually reach a point where the proposed loan modification offer negotiated with your lender would be acceptable to you. What is certain, however, is that FMG’s mortgage consultants and trained negotiators are better equipped to prepare a successful modification application and/or address loan modification issues than an average homeowner, and that FMG’s attorneys and staff will work to both prepare your package, and if retained thereafter, to obtain the best offer we are able to negotiate on your behalf.
Also, if loan modification turns out not to be available, or is not a viable option for you, FMG is able and willing to discuss your retaining us to negotiate and close on a disposition of your real property through other alternatives to loan modification, including forbearance, a short sale, or a deed in lieu of foreclosure. Any such negotiation services must be the subject of a separate written agreement negotiated between FMG and Client.
Will You Review My Loan Documents for Errors and/or Omissions That May Be Helpful in Negotiating With My Lender?
Loan Document Review is not part of the initial scope of work contained in the agreement to retain FMG’s services for preparing a client’s package for submission to a lender. However, if FMG is separately retained to conduct negotiations with your lender on your behalf we will proceed in ordering your loan documents from your lender, and reviewing those documents for any errors or omissions which might improve FMG’s bargaining strength in attempting to modify your loan.
Why Wait?
The earlier you get started on this mortgage mitigation process, the better your chances are of being able to negotiate modified terms of your home loan that you can manage under your current financial circumstances. Once you have achieved a loan modification that fits your current ability to pay, so long as you stay current on your new payment schedule obligation, you will stay on in your house without the cloud of foreclosure.
For additional information, please contact our Mortgage Mitigation Department toll free at (888) 416-7093 option 5, or Andrea Grant at agrant@fmglegal.com or (858) 642-2002 x 359.
Nevada State License No. 3330