Loan Modification Process Can Last Several Months
The time required to finalize a mortgage modification depends on a variety of issues, includingfrom how long the mortgage servicing company takes and how quickly the debtors can get their documents in order. The main issue is how long it takes the borrowers to get back on their feet financially and be able to afford any type of monthly loan installment. The bank will not alter a mortgage that will not be paid even at a reduced monthly total.
It also takes a while to communicate with the bank and discuss what alternatives are possible, and obtain the forms for the modification. This can take hours to wait on the line and then get the fax from the bank. Homeowners then have to spend time obtaining personal documents including bank statements and tax paperwork, and send this and other material information to the mortgage company.
The whole ordeal may range between several weeks to six months for some debtors. Those who hire private negotiation companies, government counselors, or attorneys may be able to negotiate an agreement more quickly than borrowers working on their own.