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7 Types of Loan Modifications – Which Option is Best For You

May 31, 2024

If you’re struggling to make your mortgage payments, a loan modification might be the solution you need. Loan modifications can change the terms of your loan and help make your mortgage more affordable.

There are several loan modification options available to help make your mortgage payments more manageable.

In this article, we’ll explore seven types of loan modifications, their benefits, and how to determine which one might be best for you.

Loan Modification Document sitting on table with house Keys - 7 types of loan modification which one is best for you?
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Table of Contents

The most common types of loan modifications are:

  1. Traditional Loan Modification
  2. Loan Modification with Partial Claim Mortgage
  3. Loan Modification with Forgivable Partial Claim Mortgage
  4. Flex Modification Program (Conventional Loan) – Replaces HAMP (Home Affordable Modification Program) that ended in 2016
  5. FHA Loan Modification
  6. VA Loan Modification
  7. USDA Loan Modification

Key Features to Loan Modification

Key features to loan modification infographic

  • New Loan Term: The term of the new loan is usually extended to 30 or 40 years. This extension helps lower your monthly payments by spreading them out over a longer period.
  • New Interest Rate: The interest rate on the new loan may be adjusted to a lower rate, which can further reduce your regular payments. The new rate can be fixed or adjustable, depending on the terms agreed upon with the lender.
  • Inclusion of Arrearages: Any missed payments or arrearages, including missed mortgage payments, are added to the principal balance of your new loan. This means that you do not have to pay the missed amounts upfront but instead pay them off over the life of the new loan.

1. Traditional Loan Modification

A traditional loan modification is a commonly used solution for homeowners facing financial challenges.

This process restructures your current mortgage to make the payments more affordable and manageable.

In a traditional mortgage modification, the total amount owed on your home mortgage, including any missed payments (arrearages), is combined into a new loan with an adjusted term and interest rate.

This effectively replaces the original mortgage with a new one. The new loan term is usually extended to 30 or 40 years, which lowers the monthly payments by spreading them over a longer period.

Here’s a detailed look at what a traditional loan modification entails, along with its benefits and potential drawbacks.

pros and cons of a traditional loan modification

pros

  • Brings the Loan Current: One of the primary benefits of a traditional loan modification is that it brings the loan current. This means that you are no longer in default, which can help you avoid foreclosure and stabilize your financial situation.
  • Lower Monthly Payments: By extending the loan term and potentially lowering the interest rate, the monthly mortgage payments are reduced, making them more affordable for you.
  • Avoids Foreclosure: A traditional mortgage modification can help you, the homeowner, to avoid foreclosure, which can have severe long-term impacts on your credit and financial stability.

cons

  • Extended Loan Term: While extending the loan term can lower your monthly payments, it also means that you will be paying off the mortgage for a longer period. This can result in paying more interest over the life of the loan.
  • Increased Total Interest: Even if the interest rate is reduced, the longer loan term can lead to a higher total amount of interest paid over the life of the loan. This can make the home more expensive in the long run.
  • Potential Negative Impact on Credit: While a loan modification is generally less damaging to credit than a foreclosure, it can still negatively impact your credit score. The modification may be reported to credit bureaus, indicating that you had difficulty meeting the original loan terms.

Eligibility Criteria

If you are seeking a loan modification, you typically need to meet certain criteria to qualify, including:

Proof of Financial Hardship:You must demonstrate that you are experiencing a significant financial hardship that affects your ability to make mortgage payments. This can include job loss, medical expenses, divorce, or other financial challenges.
Delinquency or Imminent Default:You will need to be at least one month behind on your mortgage payments or at risk of imminent default.
Ability to Make Modified Payments:Lenders will evaluate your ability to afford the new, modified payments by assessing your income, expenses, and overall financial situation. They will consider these factors before approving you for a new repayment plan.

Application Process

The process of applying for a traditional loan modification typically involves the following steps:

  1. Contacting the Lender: You should reach out to their lender or loan servicer to discuss your financial situation and request a loan modification.
  2. Submitting Documentation: You will need to provide various documents, such as proof of income, tax returns, bank statements, and a hardship letter explaining that you are facing financial hardship.
  3. Review and Approval: The lender will review your application and supporting documents to determine if you qualify for a loan modification. This process can take several weeks to months.
  4. Trial Period: Some lenders may require a trial period which includes trial payments. During that time you must make modified trial payments to demonstrate your ability to meet the new terms. If successful, the modification becomes permanent and you get a loan modification finalized.

2. Loan Modification with Partial Claim Mortgage

A mortgage loan modification with a partial claim mortgage is a specialized type of loan modification designed to help homeowners who are struggling to make their monthly mortgage payments. 

This option combines the benefits of a traditional loan modification with the advantages of a partial claim, providing a solution to address mortgage arrearages and reduce monthly payments. 

A partial claim mortgage involves creating a second mortgage, known as the “partial claim,” which covers the missed payments on the original mortgage. 

Completing an application form - How to apply for loan modification with partial claim mortgage

This second mortgage typically does not accrue interest and does not require monthly payments. Instead, it becomes due when the property is sold, the first mortgage is paid off, or the loan reaches maturity.

A partial claim can pay up to 30% of your existing mortgage’s unpaid principal balance.

Here’s a detailed look at how this type of modification works, along with its benefits and potential drawbacks.

Key Features:

Second Mortgage Creation: The partial claim mortgage is a second lien on the property, separate from the original mortgage. It covers the amount of missed payments and any other arrearages.
No Interest or Monthly Payments:The partial claim mortgage does not accrue interest and does not require monthly payments. It is essentially a zero-interest loan that is deferred until a triggering event occurs (e.g., sale of the property, payoff of the first mortgage).
Extended Loan Term:The original mortgage may be modified to extend the loan term to 30 or 40 years, which helps to lower the monthly payments by spreading them out over a longer period.

Pros and cons of partial claim mortgage

pros

  • No Immediate Repayment Required: One of the main benefits of a partial claim mortgage is that it does not require immediate repayment. As a homeowner, you do not have to make monthly payments on the second mortgage, which can significantly reduce your financial burden.
  • No Interest Accrual: The partial claim mortgage does not accrue interest, which means the amount owed does not increase over time. This can be particularly beneficial for you if you need to catch up on a large amount of missed payments.
  • Avoids Foreclosure: By addressing the arrearages and bringing the loan current, a loan modification with a partial claim mortgage can help you avoid foreclosure and stay in your home.
  • Lower Monthly Payments: Extending the term of the original mortgage can lower the monthly payments, making the payments more affordable for you.

cons

  • Deferred Lump Sum Payment: Although the partial claim mortgage does not require immediate repayment, the full amount becomes due when the property is sold, the first mortgage is paid off, or the loan reaches maturity. This can result in a large lump sum payment that you must be prepared to handle.
  • Extended Loan Term: Extending the loan term to 30 or 40 years means that you will be paying off the mortgage for a longer period. This can result in higher total interest payments over the life of the loan, even though the partial claim itself does not accrue interest.
  • Limited Availability: Not all lenders offer partial claim mortgages, and eligibility criteria can vary from lender to lender. You must work with your mortgage servicer to determine if this option is available to you.

Eligibility Criteria

To qualify for a loan modification with a partial claim mortgage, you typically need to meet certain criteria, including:

Proof of Financial Hardship: You must demonstrate that you are experiencing a significant financial hardship that affects your ability to make mortgage payments. 
Delinquency Status:You usually need to be between 4-12 months behind on your mortgage payments to qualify for a partial claim mortgage.
Owner-Occupied Property:The property must be your primary residence. Investment properties and second homes are typically not eligible for partial claim mortgages.
Sufficient Income:You must show that they have enough income to make the modified monthly payments on the original mortgage.

Application Process

The process of applying for a loan modification with a partial claim mortgage is similar to the traditional loan modification. You will need to:

  1. Contacting the Lender
  2. Submitting Documentation
  3. Review and Approval
  4. Execution of Documents – If approved, you will need to sign the loan agreement and any necessary documentation to create the partial claim mortgage and modify the original loan terms.

3. Loan Modification with Forgivable Partial Claim Mortgage

A loan modification with a forgivable partial claim mortgage is a specialized type of loan modification that can provide significant relief to you if you are facing financial hardship. 

A loan modification with a forgivable partial claim mortgage involves creating a second mortgage, known as the “partial claim,” which covers the missed payments on the original mortgage. 

This second mortgage typically does not accrue interest and does not require monthly payments. The unique aspect of this modification is that the second mortgage is forgiven after a certain number of years, provided that you meet specific conditions, such as continuing to own and occupy the property.

Here’s an in-depth look at how this type of modification works, its benefits, and potential drawbacks.

Key Features:

Second Mortgage Creation:The partial claim mortgage is a second lien on the property, separate from the original mortgage. It covers the amount of payments you missed and any other arrearages.
No Interest or Monthly Payments:The partial claim mortgage does not accrue interest and does not require monthly payments. It is essentially a zero-interest loan that is deferred until a triggering event occurs (e.g., sale of the property, payoff of the first mortgage).
Forgiveness Period:The second mortgage is forgiven after a specified period, typically five years, provided that you continue to own and occupy the property. If the property is sold or the first mortgage is paid off before this period, the partial claim amount becomes due in full.

Pros and Cons of a forgivable Partial Claim Mortgage

pros

  • No Immediate Repayment Required: One of the main benefits of a forgivable partial claim mortgage is that it does not require immediate repayment. You do not have to make monthly payments on the second mortgage, which can significantly reduce your financial burden.
  • No Interest Accrual: The partial claim mortgage does not accrue interest, which means the amount owed does not increase over time. This can be particularly beneficial if you need to catch up on a large amount of missed payments.
  • Potential for Forgiveness: If you meet the conditions for forgiveness, the second mortgage is forgiven after a specified period. This means that you may not have to repay the partial claim amount at all, provided you continue to own and occupy the property for the required period.
  • Avoids Foreclosure: By addressing the missed mortgage payments and bringing the loan current, a loan modification with a forgivable partial claim mortgage can help you avoid foreclosure and stay in your home.

cons

  • Deferred Lump Sum Payment: If you sell the property or pay off the first mortgage before the forgiveness period ends, the full amount of the partial claim mortgage becomes due. This can result in a large lump sum payment that you must be prepared to handle.
  • Limited Availability: Not all lenders offer forgivable partial claim mortgages, and eligibility criteria can vary. You will need to work with your mortgage servicer to determine if this option is available to you.
  • Potential for Repayment: If you do not meet the conditions for forgiveness, you will be required to repay the partial claim amount, which can add to your overall debt burden.

4. Flex Modification Program (Conventional Loans)

The Flex Modification Program is designed to assist homeowners with conventional mortgages owned by Fannie Mae or Freddie Mac who are experiencing long-term or permanent financial hardship.

Key details about the Flex Modification Program:

Overview:

  • Allows lenders to modify the terms of eligible conventional mortgages to make monthly payments more affordable and avoid foreclosure.
  • Replaces previous loan modification programs like HAMP (Home Affordable Modification Program) which ended in 2016.
  • Aims to reduce the borrower’s monthly principal and interest payment by up to 20%.

Eligibility Requirements:

  • The mortgage must be owned or guaranteed by Fannie Mae or Freddie Mac.
  • The mortgage must be at least 12 months old.
  • The property must be the borrower’s primary residence, second home, or investment property.
  • The borrower must be experiencing a long-term or permanent financial hardship that makes the current mortgage payment unaffordable.

Modification Process:

Lenders can employ various strategies to reduce the monthly payment, including:

  • Extending the loan term up to 40 years from the modification effective date.
  • Reducing the interest rate.
  • Deferring a portion of the principal balance as a non-interest-bearing amount due at loan maturity or payoff.
  • Capitalizing past-due amounts and adding them to the loan’s unpaid principal balance.

Borrowers may need to complete a 3-4 month trial period plan, making modified trial payments before the modification becomes permanent.

Benefits for Borrowers:

  • Reduced monthly mortgage payments, potentially up to 20% lower.
  • Brings the loan current, helping to avoid foreclosure.
  • May result in a lower interest rate.
  • Extends the loan term to make payments more affordable.

The Flex Modification Program provides more flexibility for lenders to customize the loan terms based on your specific situation and ability to pay. It aims to make mortgage payments sustainable for homeowners facing long-term financial difficulties while allowing them to remain in their homes.

5. FHA Loan Modification

FHA loan modifications are designed to help homeowners with FHA-insured mortgages who are struggling to make their mortgage payments. 

These modifications aim to make the mortgage more affordable by adjusting the terms of the loan. 

Here’s an in-depth look at the various types of FHA loan modifications, their benefits, and the application process.

Types of FHA Loan Modifications

TYPES OF LOANSDESCRIPTIONBENEFITS
Standalone Loan ModificationThis modification resolves outstanding mortgage payment arrearages by adding them to the principal loan balance of the first mortgage. The term of the mortgage is then extended to 360 months (30 years) at a fixed interest rate.This approach helps to bring the loan current and spread the repayment over a longer period, reducing the monthly payment amount.
Standalone Partial ClaimThis option allows mortgage payment arrearages to be placed in a zero-interest subordinate lien against the property. The partial claim amount does not require payment until the last mortgage payment is made, the loan is refinanced, or the property is sold, whichever occurs first.This method helps to address arrearages without increasing the monthly mortgage payment, as the repayment of the partial claim is deferred.
FHA-HAMP Combination Loan Modification and Partial ClaimThis option combines a loan modification with a partial claim. It establishes an affordable monthly payment, resolves outstanding mortgage payment arrearages, and permanently modifies the first mortgage monthly payment. The partial claim is a zero-interest subordinate lien that includes a portion of the amount to be resolved, and if requirements are met, a principal deferment. The remainder is added to the principal loan balance of the first mortgage, extending the term to 30 years at a fixed interest rate.This comprehensive approach provides immediate relief by reducing monthly payments and addressing arrearages, while also offering the potential for principal deferment.
COVID-19 Recovery OptionsThese options are available to borrowers who are 61 days or more delinquent through April 30, 2025. They include the COVID-19 Advance Loan Modification (ALM), which achieves a minimum 25% reduction in the borrower’s monthly principal and interest payment without requiring borrower contact. Servicers proactively mail the modified mortgage documents to eligible borrowers.These options provide significant payment reductions and are designed to help borrowers affected by the COVID-19 pandemic bring their mortgages current and reduce the risk of re-default.
40-Year Loan ModificationThis modification extends the term of the mortgage to 40 years, thereby reducing the monthly payments. This option was introduced to provide additional flexibility for borrowers struggling to make their payments.Extending the loan term to 40 years can significantly lower monthly payments, making the mortgage more affordable for borrowers facing long-term financial challenges.

Eligibility Criteria For FHA Loan Modification

To qualify for an FHA loan modification, borrowers typically need to meet the following criteria:

  1. Proof of Financial Hardship
  2. Delinquency Status
  3. Owner-Occupied Property
  4. Sufficient Income

Application Process

The process of applying for an FHA loan modification typically involves the following steps:

  1. Contacting the Lender
  2. Submitting Documentation
  3. Review and Approval
  4. Trial Period: Some FHA loan modifications may require a trial period during which the borrower must make modified payments to demonstrate their ability to meet the new terms. If successful, the modification becomes permanent.

Benefits of FHA Loan Modifications

Lower Monthly Payments:By extending the loan term and potentially reducing the interest rate, FHA loan modifications can lower monthly mortgage payments, making them more affordable for borrowers.
Avoids Foreclosure:FHA loan modifications help borrowers avoid foreclosure by bringing the loan current and addressing arrearages, allowing them to stay in their homes.
Flexible Options:FHA offers a variety of modification options, including standalone modifications, partial claims, and combination modifications, providing flexibility to meet the specific needs of borrowers.
No Immediate Repayment for Partial Claims:Partial claims do not require immediate repayment and do not accrue interest, which can significantly reduce the financial burden on borrowers

6. VA Loan Modification

VA loan modifications are designed to help veterans and their families who are experiencing financial hardship and struggling to make their mortgage payments. These modifications aim to make the mortgage more affordable by adjusting the terms of the loan.

Here’s an in-depth look at the various types of VA loan modifications, their benefits, and the application process.

Types of VA Loan Modifications

TYPES OF LOANSDESCRIPTIONBENEFITS
Traditional ModificationThis modification involves changing the terms of the existing loan to make the payments more affordable. The loan must bear a fixed rate and follow the maximum rate guidelines outlined in VA Regulation 36.4315. The modification typically includes extending the loan term and possibly reducing the interest rate.This approach helps to bring the loan current and spread the repayment over a longer period, reducing the monthly payment amount.
Streamline ModificationThis modification aims to achieve at least a 10% reduction in the principal and interest portion of the payment. It requires a trial payment plan and does not require a complete underwriting package.Streamline modifications are designed to quickly reduce monthly payments without extensive documentation, making the process faster and simpler for borrowers.
VA Affordable Modification (VAAM)This modification ensures that the modified monthly principal, interest, taxes, insurance, and association dues (PITIA) payment does not exceed 31% of the borrower’s gross monthly income. Principal deferment is allowed under this program.The VAAM is tailored to ensure affordability based on the borrower’s income, making it a highly effective option for those with limited financial resources.
VA Disaster ModificationThis modification is available to borrowers whose default is due to a natural disaster. It requires a trial payment plan and does not require a complete underwriting package. The terms are extended by the number of months the loan is delinquent, up to 12 months.This option provides relief to borrowers affected by natural disasters, helping them to recover financially and avoid foreclosure.
Disaster Extend ModificationSimilar to the VA Disaster Modification, this option extends the loan’s original maturity date for up to 18 months. It requires the servicer to forgive all delinquent interest and does not require a complete underwriting package.This option provides relief to borrowers affected by natural disasters, helping them to recover financially and avoid foreclosure.
Disaster Extend ModificationSimilar to the VA Disaster Modification, this option extends the loan’s original maturity date for up to 18 months. It requires the servicer to forgive all delinquent interest and does not require a complete underwriting package.This modification offers additional time for borrowers to recover from the financial impact of a natural disaster, with the added benefit of interest forgiveness.
COVID-19 Refund ModificationThis program helps Veterans and their families keep their homes by allowing the VA to purchase a portion of the loan. This creates a second mortgage with zero interest, while the mortgage servicer modifies the existing loan to make it current and ensure the new payment is affordable.This modification provides significant payment reductions and is designed to help borrowers affected by the COVID-19 pandemic to bring their mortgages current and reduce the risk of re-default.

Eligibility Criteria

To qualify for a VA loan modification, borrowers typically need to meet the following criteria:

  1. Proof of Financial Hardship
  2. Delinquency Status
  3. Owner-Occupied Property
  4. Sufficient Income
VA Loan Modification Comparison Chart

Application Process

The process of applying for a VA loan modification typically involves the following steps:

  1. Contacting the Lender
  2. Submitting Documentation
  3. Review and Approval: This process can take several weeks to months.
  4. Trial Period: Some VA loan modifications may require a trial period during which the borrower must make modified payments to demonstrate their ability to meet the new terms. If successful, the modification becomes permanent.

Benefits of VA Loan Modifications

  1. Lower Monthly Payments
  2. Avoids Foreclosure
  3. Flexible Options tailored to the needs of veterans, including the ability to roll missed payments into the loan balance.
  4. No Immediate Repayment for Partial Claims

7. USDA Loan Modification

USDA loan modifications are designed to help homeowners with USDA-insured mortgages who are experiencing financial hardship and struggling to make their mortgage payments.

These modifications aim to make the mortgage more affordable by adjusting the terms of the loan. Here’s an in-depth look at the various types of USDA loan modifications, their benefits, and the application process.

Types of USDA Loan Modifications

TYPES OF LOANSDESCRIPTIONBENEFITS
Traditional Loan ModificationThis modification involves changing the terms of the existing loan to make the payments more affordable. The loan term can be extended up to 30 years, and the interest rate may be adjusted to the current market rate. The goal is to bring the loan current and reduce the monthly payment amount.This approach helps to bring the loan current and spread the repayment over a longer period, reducing the monthly payment amount.
Special Loan ServicingThis option is used when the traditional loan modification is not sufficient to make the payments affordable. It involves a combination of extending the loan term, reducing the interest rate, and possibly deferring a portion of the principal balance. The deferred amount does not accrue interest and is due at the end of the loan term or when the property is sold.This method provides additional flexibility to reduce monthly payments and address arrearages, making the mortgage more manageable for the borrower.
Mortgage Recovery Advance (MRA)The MRA is a one-time payment made by the USDA to bring the loan current. This advance is added to the loan balance as a non-interest-bearing subordinate lien. The borrower does not have to make payments on this amount until the first mortgage is paid off, refinanced, or the property is sold.The MRA helps to immediately bring the loan current without increasing the monthly payment, providing significant relief to borrowers who have fallen behind on their payments.
Special Relief Measures/Natural Disaster Term ExtensionThis option is available to borrowers affected by natural disasters. It involves extending the loan term and capitalizing delinquent amounts to reduce the monthly payment. The goal is to provide immediate relief to borrowers who have been impacted by unforeseen events.This modification offers additional time for borrowers to recover from the financial impact of a natural disaster, with the added benefit of potentially lower monthly payments.

Eligibility Criteria

To qualify for a USDA loan modification, borrowers typically need to meet the following criteria:

USDA Loan Modification - How to Request Graphic
  • Proof of Financial Hardship: Borrowers must demonstrate that they are experiencing a significant financial hardship that affects their ability to make mortgage payments. This can include job loss, medical expenses, divorce, or other financial challenges.
  • Delinquency Status: Borrowers usually need to be at least one month behind on their mortgage payments or at risk of imminent default.
  • Owner-Occupied Property: The property must be the borrower’s primary residence. Investment properties and second homes are typically not eligible for USDA loan modifications.
  • Sufficient Income: Borrowers must show that they have enough income to make the modified monthly payments on the mortgage.

Application Process

The process of applying for a USDA loan modification typically involves the following steps:

  1. Contacting the Lender
  2. Submitting Documentation
  3. Review and Approval
  4. Trial Period: Some USDA loan modifications may require a trial period during which the borrower must make modified payments to demonstrate their ability to meet the new terms. If successful, the modification becomes permanent.

Benefits of USDA Loan Modifications

USDA loan modifications can include extending the loan term up to 40 years, reducing the interest rate, and receiving a “mortgage recovery advance,” a one-time payment to bring the loan current. The USDA loan modification also offers:

  1. Lower Monthly Payments
  2. Avoids Foreclosure
  3. Flexible Options
  4. No Immediate Repayment for MRAs

Frequently Asked Questions (FAQs)

What is a traditional loan modification?

A traditional loan modification takes the entire amount owed (including missed payments) and creates a new mortgage with a new interest rate and loan term, typically 30-40 years. It essentially resets your mortgage.

What is a loan modification with a partial claim mortgage?

This creates a second, separate mortgage for the amount you are behind (arrearages). This partial claim does not accrue interest and no payments are required until you pay off, refinance, or sell the home.

What is a loan modification with a forgivable partial claim mortgage?

Similar to a partial claim, but the second mortgage is forgiven after a set number of years (usually 5) if you remain in the home. If you sell before then, the partial claim must be repaid.

What is the Flex Modification program for conventional loans?

For Fannie Mae/Freddie Mac loans, this can reduce payments by up to 20%, extend the term to 40 years, and potentially lower the interest rate.

What options are available for FHA loan modifications?

FHA offers interest-free partial claims up to 30% of the balance, extending the term to 40 years, and special COVID-19 recovery modifications.

How can VA loans be modified?

VA loan modifications allow rolling missed payments into the balance, extending the term to 40 years, and creating affordable new payment schedules.

What are USDA loan modification options?

USDA modifications can extend the term to 40 years, reduce the interest rate, and provide a “mortgage recovery advance” to bring the loan current.

What was the Home Affordable Modification Program (HAMP)?

HAMP was a federal program that allowed reducing interest rates as low as 2%, extending terms to 40 years, and providing principal forbearance to lower payments.

Which type of modification is best for immediate payment relief?

Loan modifications with partial claims or forgivable partial claims can provide significant immediate monthly payment reduction.

Which is best for long-term affordability?

Traditional modifications resetting the loan over 30-40 years or modifications extending the term to 40 years can make payments most affordable long-term.

Choosing the Best Option

The best loan modification option depends on your specific financial situation and the type of loan you have. If you need to apply for loan modification keep these general guidelines in mind:

  • For Immediate Relief Without Increasing Monthly Payments: Consider a loan modification with a partial claim mortgage or a forgivable partial claim mortgage.
  • For Significant Payment Reductions: The Flex Modification Program or FHA/VA/USDA loan modifications with extended terms and reduced interest rates are suitable.
  • For Veterans: VA loan modifications offer tailored solutions for veterans and active service members.
  • For Long-Term Solutions: Traditional loan modifications and FHA/USDA options with extended terms can provide long-term financial stability.

Always remember to consult with your lender or a HUD-approved housing counselor to explore the best option for your circumstances.

The Budget Academy
Fab Kellum author of the Girl, Get Out of Debt! blog

Hey you! Welcome to The Budget Academy. I am Fab, a mom, and an entrepreneur at heart. Like many, I have overcome financial struggles, and now I get to share with you how I became debt-free and what I learned on my own personal journey.  I have a Finance and Real Estate background and am passionate about helping others succeed and achieve financial freedom.  So, please don’t be shy, let’s connect and start this journey together! Learn more about me here.