San Diego California Home Loan Modification Laws

If you are facing the prospect of losing your home and are searching for a viable alternative to foreclosure or bankruptcy call our Office.  The real estate attorneys at Steigerwalt Law Firm have been helping San Diegans successfully resolve their legal and financial issues for many years

Below is a brief overview of bankruptcy and California real estate laws that may apply to your current situation. If you need specific answers and immediate help, contact the Firm today to schedule an initial consultation.

California Bankruptcy Laws

Bankruptcy law is federal in nature, but there are some individual state norms that must be adhered to.  While most people would like to avoid the perceived stigma of filing for bankruptcy protection at almost any cost, the truth is that millions of people file bankruptcy each year. Our experienced attorneys will help you decide if it’s the best alternative for your situation.

Generally, consumers file for protection under the US Bankruptcy Code by using the regulations and procedures set forth in either Chapter 7 or Chapter 13 of the Code.  The most relevant aspects of these Chapters involve the use of exemptions and stays.  An exemption is the amount of property that cannot be sold off to satisfy creditors, and the automatic stay is a court-issued order to all creditors to cease with collection efforts while the petition is pending.

Again, our goal is to help you save your home and bankruptcy, (although not the most preferable option), may be a possible way to accomplish that.  However, our attorneys would need to hear more about your situation before we can assist you in making that decision.

California Real Estate Laws

The real estate laws of California are extensive and and complex. An especially important law that applies if you are currently in default on your mortgage and facing the possibility of foreclosure is California Civil Code Section 2945, which forbids people who call themselves "mortgage consultants" to collect any fees up front for their supposed "loan modification services" if a Notice of Default has been filed against your property. This is because many of these "consultants" are known scammers - they'll take your money and then do nothing while your house is foreclosed on.

However, this law does not apply to real estate attorneys acting in the normal course of their law practice, and obligated by law to act in the best interests of their clients. At Steigerwalt Law Firm, we will carefully evaluate your mortgage and financial situation and tell you upfront it we have a good likelihood - or not - of modifying your mortgage. If we tell you that we do not think there is a reasonable likelihood that we can negotiate your loan modification, we may still be able to help you in other ways, such as by negotiating to have you simply turn your home over to the lender in return for a release from the mortgage, If we believe we have a good likelihood of modifying your home loan, you will have the benefit of full legal representation and the peace of mind that comes from having a knowledgeable real estate attorney working tirelessly to save your home and credit rating. Our skilled attorneys have the knowledge and experience needed to negotiate your loan modification.

Your Next Step

If you are finding yourself falling further and further behind or your mortgage is about to adjust and you are unsure what to do, your first step should be to contact the real estate attorneys at Steigerwalt Law Firm.  Our attorneys will help you navigate these tough financial times, so contact our Firm today.

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