Partial Claims and Mortgage Modification
For individuals who are struggling to make regular payments on their monthly obligations, mounting debts may lead to missed payments. Failure to repay your debts may result in serious delinquency and negative consequences, especially when it comes to mortgage loans. Persons who fall behind on their home loan payments may lose their home to foreclosure if they fail to repay the loan.
In some cases, homeowners may be able to bring a delinquent mortgage loan current by exercising a “partial claim” option which allows them to advance funds to reinstate the delinquent loan. Such actions may be able to help prevent foreclosure and help the homeowner get back on track. If you would like to know more about partial claim options, contact the Maryland mortgage modification attorneys of Chaifetz & Coyle, P.C. at 443-546-4608.
Homeowner Obligations and Partial Claim Options
When exercising a partial claim option, the homeowner will usually find that:
- The mortgagor will execute a promissory note for the amount advanced
- The subordinate mortgage will be submitted to the HUD department
- Legal fees and other costs may be included in the partial claim
- The note may not assess interest
- The note is not due until the homeowner no longer owns the home or the home is sold
In most cases, homeowners can exercise a partial claim option as long as their delinquent payments do not exceed 12 months of principal, interest, taxes, and insurance (PITI).
Contact Us
If you are facing foreclosure and would like to know more about saving your home through mortgage modification, contact the Maryland mortgage modification attorneys of Chaifetz & Coyle, P.C at 443-546-4608 today.