Rancho Cucamonga Second Mortgage Settlement Lawyer
Second mortgages, like home equity loans and home equity lines of credit, are convenient ways for homeowners to tap the equity in their home. Many homeowners use a second mortgage to free up money for home repairs or possibly to pay for other expenses, like college tuition or even vacations. Some people even buy a car with money taken in a second mortgage.
Unfortunately, any homeowner could encounter financial difficulty, but your second mortgage is secured by the home, just like your primary mortgage. If you stop making payments (default), you can end up in foreclosure. It’s possible you’ll lose your home and end up out on the street.
Second mortgage debt settlement is a strategy for reducing what you pay for the mortgage. An experienced lawyer at Wadhwani & Shanfeld can discuss this option in a consultation. If hired, our Rancho Cucamonga second mortgage settlement lawyer will compile information to use and negotiate with your mortgage lender. Often, we can get them to agree to accept less than what you owe.
Is a Second Mortgage Debt Settlement Right for You?
Debt settlement is an agreement where a creditor accepts partial payment for a debt. When it comes to second mortgages, a lender might accept a lump sum for less than what you owe in exchange for conveying the lien to you and releasing any claims. Essentially, you can get rid of the second mortgage by paying less than what you owe them.
Why do lenders make this agreement? In the background is the possibility you might file for bankruptcy. When a home has insufficient equity to pay off the first and second mortgages, a borrower might strip the lien in bankruptcy. That means you can completely get rid of it, which would leave the second mortgage lender with possibly no payment. They know you might choose this option, so they have an incentive to accept partial payment. After all, some money is better than nothing.
Lenders are not obligated to accept a proposed settlement. Instead, we need to persuade them. Ideally, we can present facts showing why you are facing financial difficulty and that filing for bankruptcy might be a good option for you.
Let us review your mortgage and finances. The less equity you have to cover a second mortgage, the stronger your hand in negotiations. We have successfully settled many second mortgages, and we can use our experience to your benefit.
Call Wadhwani & Shanfeld Today
Second mortgages have exploded over the past 20 years, with more people trying to tap the equity they have built up on their home. Sadly, financial difficulties often strike out of the blue. Some people lose their jobs, while others fall ill with an illness that keeps them out of work. Whatever the reason, they are now on the brink of foreclosure.
If you need help, please call our law firm. A Rancho Cucamonga second mortgage settlement lawyer can analyze your situation and, if hired, immediately work to save your home from foreclosure.
