Loan Modification
A loan modification in real estate is a negotiated change to the terms of an existing loan. Unlike refinancing, which replaces the existing loan with a new one, a loan modification alters the original loan terms while keeping the same loan in place. Loan Modification and documented by a contract which is generally recorded for constructive notice.
Retainer Fee: $700.00
(Includes $600.00 cost for document preparation and $100.00 toward recording fees)
Parties to a Loan Modification
- Borrower – The homeowner or property owner requesting changes to the original loan terms
- Lender – The financial institution or mortgage holder that agrees to adjust the loan terms (e.g., interest rate, payment amount, or loan term)
Common Types of Loan Modifications
- Interest Rate Reduction – Lowers the rate to reduce payments
- Loan Term Extension – Extends the loan period to lower monthly costs
- Principal Forbearance – Temporarily defers a portion of the loan balance
Contract Modifications
- Mutual Agreement Required – Both parties must consent
- Must be in Writing – To prevent disputes
- Consideration (New Terms) – Some contracts require additional value exchange
- Legal Compliance – Changes must follow State law including applicable contract and consumer protection laws
Services Offered by RELAWDOC
- Flat fee pricing for peace of mind with a clear, upfront cost
- Easy online ordering
- Simple information collection process
- Consultation to verify information and terms
- Review by an attorney
- Coordination of document execution and recording as requested (for additional fees)