In Foreclosure While Making Trial Modification Payments
Our loan is with B OF A- after 3 years of going through their process of losing our paperwork and having to start process all over which for us was over 4 times, we've now been approved for a permanent loan mod through B OF A. We were denied HAMP(but never given reason why). Our home is in foreclosure and has a sale date. B of A continues to postpone this date as we make our payments. My question is: Once we get a permanent mod(we've been told in writing that we are approved for a perm. mod) what happens with the foreclosure? What's that process like?
Mortgage Loan Modification Answer:
Once your permanent loan modification agreement has been finalized and executed by both parties, the foreclosure process is stopped and your lender should/will eventually file a Notice of Cancellation of the foreclosure.
You must abide by the terms of your permanent loan mod agreement so your lender will have no reason to pursue foreclosure once again. Should you become delinquent on the modified loan payments, your lender has the right to start the foreclosure process all over again.