What's a good investment decision by investors- specifically Freddie Mac?

[Wender]

I saw a similar thread on this subject..but can't find it...sorry in advance if this is a repeat.

According to BoA, an appraiser will be calling me soon to appraise my home. The investor is Freddie Mac.

What are they looking at to determine whether or not a loan mod would be a better investment?

We owe $164k and I'd be very surprised if our home is appraised for less than this amount. I'm guessing it would be valued between $170 to $199k.

My current house payment is $1400.00 @ 6.25%- 30 year fixed. There are roughly 25 years left on the loan. I asked to reduce our payment to $1k (this would include ins and tax) by either reducing our interest rate or extending our mortgage to a 40 yr fixed.

Any advise would be greatly appreciated.

[ama125]

They have to determine your home's value. This can be done through an automated value model or broker price opinion. If neither can give a reliable figure, than they can order an appraisal. This figure comes into play when calculating the cost of foreclosure vs the cost of modification.