While the Obama administration’s proposals to save homeowners from foreclosure, to recast the terms of their ARM or other types of troubled loans, will help millions, millions more homeowners will not qualify or may not get help in time to stop their own foreclosure.

Anyone in pre-foreclosure or in danger of going there soon would be smart to find $300 to pay a loan modification firm to help renegotiate terms of their mortgage. A loan modification firm has its own lawyers, banking specialists and real estate professionals who understand what will get bank’s attention. They know what it costs a bank to execute a foreclosure – in fact, no lender benefits when that happens. They get stuck with properties that cost them money and will likely lose as they try to sell in this down market.

A loan modification firm is a means for homeowners to take action, even if they are intimidated by lenders and the language of loans and foreclosure. The homeowner is freed from the burden and emotion of negotiation, working with professionals looking out for the borrowers’ best interests. In the end, everyone wins.

Note: Be sure to hire a loan modification firm that will only take a case with a high degree of certainty that they will succeed in achieving better terms, and in the unlikely case they do not, that they will refund your fee.