The first step is to determine whether or not you may qualify for a loan modification through your lender. While there are several federal programs being developed that may eventually address this process, these programs all leave the final decision regarding your qualification for loan modification in the hands of your lender. The following are some of the questions we will ask to determine if you qualify for a loan modification:
- Is the loan you are attempting to modify a loan for your primary residence?
- Does your loan have an adjustable interest rate that has already adjusted, or may begin to adjust in the near future?
- Are you spending greater than 31% of your monthly income on your mortgage loan (including taxes, homeowner’s insurance, interest, and homeowner association dues)?
- Did you obtain your current mortgage prior to January 1, 2009?
- Reduction in income due to loss of employment.
- Increase in monthly expenses, such as an increase due to medical expenses.
- Increase in your mortgage payment, possibly caused by your interest rate adjusting upwards.
- Was your income improperly stated on your initial loan application, thus qualifying you for a loan that was beyond your financial means?
- Do you desire to stay in your home and work with the lender towards obtaining a loan payment you can afford?
While your answers to the above questions will help us to determine the likelihood of obtaining a loan modification on your behalf, the final decision still remains with your lender. As such, we are still required to submit the necessary information to the lender for their decision. Please contact our firm in order to discuss your specific situation so we can establish a comprehensive evaluation of your mortgage loan. While we will work quickly and efficiently to obtain your loan modification, much of the process remains in the hands of lenders who are inundated with modification requests in today’s turbulent market. By getting a free consultation immediately, the process to amend your mortgage agreement can begin as soon as possible.