A home purchase is now easier and made more affordable than it was in the past. Nowadays, you can get a mortgage loan even if you have bad credit and can only afford a small amount of down payment. However, this doesn’t mean that anyone can get a home loan approval.
Many home buyers seeking mortgage as well as now homeowners come across common mortgage problems despite the improvement made in the housing market. Thankfully, there ways on how you solve the following home loan problems.
Your Loan Services Claims They Did Not Receive Mortgage Payment.
Lenders often give their borrowers consideration by giving 15-days courtesy period after your mortgage due date before imposing a late fee. If you’re sure you made your payment, but your loan servicer can’t track it down, send a letter that will serve as you “error notice.” Your lender will then acknowledge your letter and resolve the payment issues within a month. Make sure to make regular mortgage payments still even if your lender is still sorting out the problem.
Your Lender Rejected Your Cash Out Refi Application.
If you lender rejected your application for a cash-out refi, make sure to ask them the reason you got denied of a mortgage. If you’re rejected because of a high DTI ratio, your credit score being too low or for having a low or unstable income, make sure to improve them first before reapplying. It pays to learn about the rules in your area as Texas Refinancing Laws can be different from other states.
Your Mortgage Loan Company Is Threatening To Foreclose Your Home.
When you fail to make regular mortgage payments, you’re putting your home at risk for foreclosure. You may receive a warning from your lender, but you can still negotiate. Contact them immediately. Let them know of your situation and provide financial statements proving your claim. If they are willing to work with you, they can arrange a customized repayment plan for you to pay off the loan and avoid foreclosure.
There Are Title-Related Issues During Closing.
Many reasons can cause delays during closing, and one of the most common is a title-related issue. This is the best time to work with a property lawyer as they can solve any title-issues fast and efficiently. He can do a title search one your seller accepts your home purchase offer.
Recommended Read: These common title problems can snag your home closing
You Want To Remortgage, But You Have Negative Home Equity.
Having negative equity is bad news for any homeowner – especially if you plan on remortgaging soon. This means you have no equity left in your home and you’ll have a hard time finding a lender who’s willing to offer you another mortgage loan. To solve negative equity, start overpaying your monthly mortgage. You can also make home improvements that will increase your home’s value. It may take some time, but if you want to build equity, you need to be patient.
These are just five common mortgage problems and how you can solve them. The best way to resolve any issue concerning your mortgage is by maintaining open communication with your lender. Also, a property lawyer can help give legal advice and services that can be useful in solving some of your mortgage problems. Know when to seek help and do your homework.