How To Apply For A Home Loan Modification

How to apply for a home loan modification. To apply for a loan modification wont be as difficult as you might think. You don’t necessarily need to be behind on your mortgage payments. Even if you are making your mortgage payments on time, you still can qualify for a loan modification. How to apply for a loan modification will be explained step by step in this article.

Am I eligible for a home loan modification?

You are eligible for a home loan modification if the following apply.

* You don’t need to be late on mortgage payments

* Loans must be originated on or before January 1, 2009

* Must prove Hardship

* Your home loan must be owned by Freddie Mac or Fannie Mae to be eligible for a home loan modification.

* Home loan can only be modified one time under the Home Loan Modification Program. If your home loan has been modified before, you are not eligible again.

What is Hardship considered when applying for a Loan Modification?

Hardship is when one or both homeowners have been either laid off, or fired from their jobs. Hardship is also when one or both homeowners are sick and can no longer work.

How many times can you apply for a home loan modification?

You may only apply once in a full calendar year. (12 months) If you applied for a Loan Modification and were denied you will need to wait 12 months to apply for the home loan modification again.

How do I find out if Freddie Mac or Fannie Mae own my home loan?

You must contact your loan servicer. A loan representative will be able to tell you if your mortgage is owned by Freddie Mac or Fannie Mae.

What documentations are required for a loan modification?

* Two most recent pay stubs for each wage earner on the home mortgage loan

* Most recent tax returns for each home owner on the home mortgage loan

* Completed and signed IRS 4506-T form

* A signed affidavit of financial hardship

When speaking with a mortgage loan representative you will need the following.

* All expenses this includes (credit card payments, auto loans, school loans, etc)

* Person debt this includes (groceries, utilities, etc)

* Monthly gross and take home income

How to apply for a loan modification can be done if you follow the steps in this article.