Loan Modification: Are these programs actually working? Was anybody able to successfully renegotiate their mortgage payment and/or reduce loan amount? Everybody talks about loan modification, but are there any “success stories?”
Yes. But you may need to go delinquent on your mortgage before the bank will consider a modification. You will need to show a financial hardship and some ability to pay your revised mortgage payment. Be prepared for a long hassle. But the effort can help save your home and a lot of your money.
i heard that you have to be behind on your payments by at least two month befor the lender will even begin to negotiate. it would be ashame if you have to sacrifice credit rating, but if there is a need then it's probably worth it.