Minnesota Debt Restructure Attorneys
Negotiating New Terms for a Troubled Mortgage
If you cannot afford your mortgage under the current terms of the loan, it may be possible to renegotiate with your lender. But banks are under no obligation to do so. A loan workout has to serve the interests of both parties, and lenders need a lot of convincing to justify the trade-offs.
The Twin Cities law firm of Burns & Hansen, P.A. represents either borrowers or lenders in loan workouts and loan modifications. Our lawyers have helped many homeowners save their homes and avoid foreclosure or bankruptcy. We have helped other residential and commercial clients surrender their property under favorable terms. Our banking law practice also represents community banks and credit unions in workouts and foreclosures.
Residential Mortgage Workouts
Attorney Patrick Burns advocates for homeowners in renegotiating mortgage loans through workouts with a local lender or through federally backed programs.
If you spend more than 30 percent of your net pay on house payments and are in or near loan default, you may qualify for a loan modification program. It is critical to work with a lawyer as there are many fraudulent programs that fail to deliver — or actually make things worse.
In a loan workout with a bank or mortgage company, our goal is to solve your immediate crisis without creating future problems. Solutions could include a lower interest rate, lower payments for extended years, reduction of the principle or forgiveness of arrears.
We can also represent owners who want to get out from under an untenable loan by getting the lender to agree to a short sale or deed in lieu of foreclosure. Walking away from a mortgage usually requires some additional payment to the lender.
Commercial Lender Representation in Loan Negotiations
Attorney Bart Gernander advises a number of Minnesota banks, including loan workout negotiations with commercial borrowers (or homeowners). He can help analyze whether to re-work the term or call in the loan (i.e., foreclose), and help draft the new agreement.
Arrange a free initial discussion at our St. Louis Park office to discuss your rights and options regarding a distressed mortgage. We serve clients in Minneapolis, the Metro area and statewide. Call 952-232-5991 or contact us online.