Mortgage Modification Training

Loan modifications are an option for homeowners struggling to make mortgage payments.

Mortgage modifications are foreclosure alternatives allowing borrowers to refinance their loan or change the terms of their loan to reduce the monthly payment, making it more affordable. The Department of Housing and Urban Development (HUD) offers training to loan officers and counselors in the mortgage modification process.

HUD Training

Loan modification training for FHA, VA and conventional loans are provided free by HUD to assist loan officers and service personnel with loan modifications, forbearance, temporary PMI claims and other foreclosure avoidance options. These classes are offered in a one day, three-hour format.

Significance

Loan modifications require a substantial amount of paperwork. To complete a loan modification a consumer must sign---in the presence of a notary---new loan documents that are then legally amended to the deed once the paperwork is received by the lender. For mortgage servicers to be in compliance, their staff must be familiar with new legal forms in relation to loan modification and loss mitigation techniques.

Warning

There are websites offering fee-based loss mitigation training to untrained and unlicensed individuals. These programs are not approved or endorsed by the Department of Housing and Urban Development and should be regarded with caution. With HUD providing free training for loss mitigation services and techniques, real estate industry professionals do not need to seek out additional sources of training material.

References

• Loan Safe: Live FHA Training
• Department of Housing and Urban Development: Training Events
• Department of Housing and Urban Development: Loan Modification Frequently Asked Questions