Mortgage Modification Simplified Part Two
Filed under Mortgages
One of the many factors that determine whether you are eligible for a loan modification is whether you’ve held a steady job or have hopped around from job to job in the past few months. You also have to have a steady job, being unemployed will not make the mortgage modification a simple process. The lender will most likely look into your credit history to determine whether you are able to pay your mortgage on time. If you do have a bad record or bad credit, it is most likely that your application will get rejected.
A lender will look at many factors which will determine your ability to pay for the mortgage, one of which includes a hardship letter. A hardship letter is where you would explain to the lender everything you’ve been going through in your life. From you or your spouse losing your jobs, increased in the amount of the mortgage payment, and other things that made it difficult for you to pay your mortgage bill on time. This letter will have to be convincing enough for the lender to reduce your interest rates and lock them in for the remainder of the time period.
One thing you must avoid at all costs is lying in the application, because remember that the lender will request proof of every claim you make. They will most likely require access to your financial information. Just be honest and the modification will most likely go through.
