Like all good housing counselors, my colleagues and I are trained to consider a range of options for homeowners who seek our help. But, every once in a while, we work with a client who needs us to think of solutions that don’t appear in the training guides.
New rules recently came into effect which require that most companies servicing mortgage to send applications for loan modification to borrowers who fall behind on their payments. Most loan servicers also let borrowers know that assistance with completing the application is available at no cost to homeowners by HUD-approved counseling agencies. No doubt some homeowners ask themselves: “Why work with a housing counselor?” Why not just complete the modification application on their own and send it in?