Is it possible to get a modification through government programs if you have a conventional loan(BOA). ?

Asked 9 months ago - Saint Augustine, FL

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I make my payments but my loan is so underwater at this point that I will probably never get out from under. I read about all these programs but am told I do not qualify because I have a conventional loan rather than a Freddie or Fannie backed loan. I am advised to just 'Walk away". What would happen if I did that?

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  1. Contributor Level 11

    Answered August 30, 2012 19:43. Many times other options exist, "walking away" has negative consequences you may be able to avoid. It is important you speak with an attorney who is experienced in foreclosure defense, and possibly bankruptcy, so that they can discuss the specifics of your situation and advise as to all of the alternatives you may have. I have seen many cases where BOA has worked out either a modification or short sale agreement with a homeowner, so it is not impossible, however, you just need to have someone review your particular case to best advise you what are your choices. No one should "walk away" without speaking to legal counsel first. There is a lot of misleading information out there and you would be surprised that your options aren't always as bleak as you may think.

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