What Is a Loan Modification?
What Is a Loan Modification?
A loan modification is simply the change of terms to an original loan agreement. Typically, a loan modification is done for a homeowner that is in financial distress as a means to help the home owner keep the home and avoid foreclosure.
A loan modification can be anything from simply fixing an adjustable interest rate, lowering a principal balance, lowering an interest rate, or any combination of the former.
