A loan modification may NOT be in a homeowner's best interest if the home value is considerably below the mortgage debt. Homeowners reflexively think that a loan modification is the best course of action, and sometimes it is, but often it's NOT due to a variety of factors. And because every homeowner's situation and circumstances are different, a one-size-fits-all solution does not exist. Unlike so called loan modification companies who prey on peoples impression that banks are slashing mortgage payments (and then they charge you $2,000 or more for a loan modification which you can probably do yourself), The Law Office of Joseph A. Velez takes a different approach. My firm feels that in order to make the best and highest quality decision regarding what to do about your home, you should obtain quality advice which is tailored to your particular set of needs and your unique circumstance. For example, you need to understand something about foreclosure. Why? Because everyone who needs a loan modification is on the verge of losing their home - and thus both matters have to be intelligently understood. At The Law Office of Joseph A. Velez we also feel the following are significant for you to consider regarding your situation (and which by the way, a loan modification salesperson cannot and will not cover with you):

1. You need to be advised as to whether the lender can come after you if you lose the home due to foreclosure or short sale.

2. What are the tax consequences of losing your home?

3. What is really better, a loan modification or giving the property back to the lender?

4. What is the definition of a loan modification?

5. Is it really in your best interest to do a loan modification?

6. Will your mortgage payment go down after a loan modification or will it go up? Or will it just be a temporary reduction in your mortgage payment? (Surprisingly, many times mortgage payments go up - I suppose this would technically be a loan modification, just not the one you had in mind.)

7. What are the pro's and con's of a short sale or a deed-in-lieu? (Everyone seems to suggest a short sale, but there are many reasons why this is not a good course to take).

8. Are there any legal defenses to a foreclosure?

9. What is the impact to credit for each of these?

10. If you did a "stated income" loan, are you really sure you want to give the bank your tax and wage documents if they contain information which is significantly different than what you told the bank you earned when you obtained the loan (i.e. potential mortgage fraud issues)?

These are all crucial issues you need to be informed about so that you can decide what to do. Remember, unlike loan modification companies, we're not in the business of selling you on loan modifications. We're in the business of providing our clients sound, legal and practical advise regarding these matters so that they can make high quality decisions.

Some potential clients wish to keep their homes, others wish to sell the property or take a foreclosure.  Finally, some homeowners just wish to negotiate the best workout possible.  (They are willing to consider a loan modification, a short sale, or any other options.)  When you work with The Law Office of Joseph A. Velez you will not be painted into a corner.  We help you achieve the best workout possible.  Our upside down analysis gives you the important information you need to make the best decision for you.

We cover all of the matters listed above plus a number of others that are inevitably unique to your individual situation. And as mentioned above, often times our clients realize that either the loan modification is really not in their best interest, or that they could even do it themselves. These are things that a loan modification company will never tell you. If you are interested in an Arizona foreclosure/ loan modification consult please contact The Law Office of Joseph A. Velez.

What a Loan Modification Company Will NOT Tell You

Phoenix, Arizona Loan Modification & Foreclosure Attorney

Law Office Of

Joseph A. Velez


Real Estate & Business Law Attorney

The Law Office of Joseph Velez

Commercial Real Estate & Business Law Attorney

Scottsdale Financial Center

7272 E. Indian School Rd., Suite 111

Scottsdale, Arizona 85251


Our law office represents clients throughout the Phoenix, Arizona area including the cities of Scottsdale, Maricopa, Mesa, Surprise, Paradise Valley, Avondale, Gilbert, Chandler, Glendale, Florence, New River, Fountain Hills, Peoria, Surprise, Queen Creek, Tempe, Sun City, Apache Junction, and Casa Grande. We serve the counties of Maricopa, Yavapai, Gila, Pinal, La Paz, Yuma, and Pima County.

DISCLAIMER: This site and any information contained herein are intended for informational purposes only and should not be construed as legal advice. Seek competent legal counsel for advice on any legal matter.

One hour initial office consultation fee is $295 for the matters discussed above.