Anyone facing foreclosure might be surprised if they heard the following from their lender: “This hurts us as much as it hurts you.”

But banks are losers when a borrower goes into foreclosure. They are not in the real estate management business. It not only costs them money to maintain a property and sell it (probably at a loss in this market), but the process of foreclosure itself is costly, involving staff and attorneys they need elsewhere.

Even if a borrower is 30 or 60 days late on their property, a bank is open to halting the process. But few homeowners in default know how to navigate their way out of it. Hence, the rise of loan modification specialists – people with legal, real estate and financing expertise who work on behalf of the borrower.

Loan modification consultants help their clients stay in their homes — through a mortgage refinancing at affordable interest rates or other terms – in a loss mitigation process. Reputable firms charge an upfront fee – under $500 in most areas, sometimes as low as $300 – to handle the paperwork and negotiate directly with bankers to recast the loan. Before taking on a case, they can determine the chances for success such that the distressed homeowner need not invest anything without a high degree of certainty of success.