Living Beaverton - Your guide to everything Beaverton


Are you thinking about doing a loan modification to keep from losing your home? WHY?

WHY? Simple question that can save you lot of time and heartache when it comes to doing a loan modification and trying to keep your home. Many people are going through hard times right now and many of these people want to keep their homes and I’m betting if you are reading this you are one of them.

But, my question to you is “What was the reason you need to do the loan modification?” If you saying because your payments are too high oris that because you are getting paid less or could it be you have a spouse who lost a job? Whatever the answer you need to decide what is right for you.

Are you thinking of doing a loan modification in Oregon

From my experience if you are modifying your loan so you can save money because of a job loss or other financial difficulties that haven’t been resolved. I have seen a huge failure rate in this type of loan modification. But, if you have gotten a job or have returned to work and are just looking to add the payments to the end of the loan and can now afford the payments like before, I’ve only seen one of these types of loan modifications fail.

So, if you can now afford the home like you could a few months back, then I say go for it and try to get a loan modification. But, ifyou are in a situation that if you were brought current on your payments and you still can’t afford the home, then I suggest you re-think getting a loan modification and consider selling your home and getting something with a considerably lower payment.

Respect Realty LLC (Expect More)


At Respect Realty, LLC our agents believe in 100% dedication to client satisfaction.  We specialize in property and land acquisition around the Portland Metro and Vancouver, WA area. We delight in working with first time home buyers and sellers to guide them from start to finish. Our doors are always open and we are always happy to assist you with your real estate questions.


Reach out today, we look forward to talking with you!


Todd Clark and Seraina Aguayo (Owners of Respect Realty)

Respect Realty LLC (Expect More)



Thinking of buying? Start your home search by clicking here
Thinking of selling? Find how much your home is worth by clicking here


Don't forget to follow us on Social Media to keep up with the latest real estate information






Comment balloon 6 commentsRespect Realty LLC • June 17 2010 09:39AM


TOod, good sound advice....I am still amazed that many sellers don't know this is an option...

Posted by Kristin Johnston - REALTOR®, Giving Back With Each Home Sold! (RE/MAX Realty Center ) about 9 years ago

Todd - Sage advice.  Loan Modifications can be a nice tool if it fits into a thought out & planned long-term committment to keep the house folks have made home.  However, if it something that is nothing more than prolonging what is no longer affordable ... it's probably best to seek other alternatives.

Posted by Jason Sardi, Your Agent for Life (Auto & Home & Life Insurance throughout North Carolina) about 9 years ago

One of the first questions i ask potential sellers is if they are current on their mortgage ...and we work from there.  I've found that many banks are just continuing to drag their feet on loan modifications that should happen anyway...keep waiting for a hallelujah!

Posted by Ginny Gorman, Homes for Sale in North Kingstown RI and beyond (RI Real Estate Services ~ 401-529-7849~ RI Waterfront Real Estate) about 9 years ago

I too, have seen a high failure rate in loan modification. The shadow inventory keeps building behind the dam...

Posted by Paul S. Henderson, REALTOR®, CRS, Tacoma Washington Agent/Broker & Market Authority! (RE/MAX Northwest.) about 9 years ago

One big piece of advice on loan modifications...even when the lender says everything is fine, it might not be.  You should be checking with the foreclosure department too!  I have had a client recently who was making payments on her modification, BoA was sending the payments back to her via Western Union and proceeded with a foreclosure with no further notice to her.

Posted by Jenna Dixon, Empowers You With a Better Real Estate Experience (DRA Homes | Cobb County Real Estate ) about 9 years ago

Good points Todd.  Here in Arizona folks seeking a loan modification should beware of companies that seek upfront fees to negotiate the terms of the loan mod for you.  One site I like has an "Avoid Foreclosure Guide" that discusses how to keep your Arizona home.  These things vary from state to state, so if you are not in Arizona find a local source.  Of course you should try to modify your loan before simply giving up your home or selling it in a short sale situation, but be warned that the bank probably won't work with you the first time. It takes perseverance and persistence.  I agree with Todd, however, if you just can't afford your payment sell your home and downsize.  Downsize before it's too late.  What you should not attempt to do, however is short sale your home, so that you can purchase a more affordable one.  In Arizona, you could get yourself into some legal troubles doing this.  

Posted by Curt Baumgarth, CDPE Realtor Serving the Valley of the Sun. 480 26 (Century 21 All Stars) almost 9 years ago

This blog does not allow anonymous comments