Posted on: 19th Oct, 2009 10:55 pm
I have an 80/20 mortgage. The first loan (the 80%) is an option ARM - and the interest rate changes every 6 months. It is lower now - however, once interest rates go back up - I am totally screwed. I heard through circles that I may be able to negotiate on the 2nd loan (the 20%) for 10 cents on the dollar. Is this even a remote possibility? And if it is - does one hire a specific type of attorney?
i think they will not
Not all lenders would be ready to reduce your second loan amount. You will have to speak to your second lender about reducing the loan. If you have a financial hardship, then there are chances that the lender would be considering your request. You do not have to hire an attorney for this purpose. You can negotiate with your lender and see if he agrees to it. In case, if you are unable to negotiate, you can take the help of an attorney.