When you contact your bank and ask for consideration for a loan modification, they will send you an application which must be completed and returned for review.  This is a 3 page form and it includes your financial statement.  Basically, this is a detailed accounting your household monthly gross income and monthly expenses.  This is probably the single most important loan modification form as it will really determine whether you qualify for assistance or not.

It is important that you take your time when you prepare this loan modification  financial statement, making certain that your figures are not only accurate but that they are acceptable.  How do you know what is acceptable to your bank?  Well, you can get the inside information on just what will qualify and then use that information to fine tune your own budget.

When the Fed launched their loan modification plan called HAMP, they instituted a standard formula for determining which borrowers would be eligible.  This is basically a mathematical equation that is used to qualify borrowers based on their financial information provided on their application.  So, it really makes sense to learn and use this same formula when submitting your financial statement.

How does this formula work and how can you apply it to your own financial statement?  Well, it is based on your gross income, your current mortgage balance and monthly payment, as well as your cash reserves and other debts.  To make it simpler for borrowers to figure all this out, an easy to use software program has been developed that actually mimics the formula.  All you need to do is input your income and expenses, and the calculations are done automatically.

You can then use this information to fine tune your own budget, and then prepare your financial statement so that you know your figures fit right into the HAMP guidelines.  Remember, that there is no guarantee that even the most qualified homeowner will be offered a loan modification, the lender is the only one you can make that decision.  But one thing is certain-if you don’t fit into the approval formula you don’t stand much of a chance at all.

Prepare your application correctly!

Susan Gregory is the author of two resource books for homeowners and real estate professionals, the best selling The Complete Loan Modification Guide Kit and The Stimulus Book-HAMP & HAFA Edition.  She also teaches workshop training classes for the federal programs to help real estate professionals assist homeowners with home retention and exit strategies.  The Complete Loan Modification Guide kit provides a valuable resource for borrowers that includes a step by step handbook, required forms, and a software program that mimics the federal approval triggers for loan modification.  An advocate for homeowners, Susan also offers free 30 day email support for all of her clients who purchase her publications.  Thousands of homeowners have been helped using these materials.  Visit http://www.myloanmodficationcenter.com for more information.

1. The first thing your lender will want to see is that while you cannot afford the current loan payment, you will be able to pay and sustain any new lower payment they agree to.  You must prove to them that you will not default again if granted loan modification help.
2. You do this by providing financial statements that detail your income and expenses giving the bank a snapshot of your financial situation.  You also show them your projected budget, including the new lower monthly payment that clearly demonstrates your ability to maintain the new payment.
3. Pull out all of your bills, monthly obligations like food, gas, daycare, etc and work out a reasonable family budget.  Now determine what you can realistically afford to pay monthly so that you can present your lender with a clear plan that you intend to follow.
4. Provide your bank with a Hardship Letter that details the circumstances surrounding your current financial hardship.  Lenders will take into consideration events that were out of your control when you give them a compelling and convincing explanation of the circumstances surrounding your current situation, how that impacted your ability to make the loan payments, what steps you have taken to correct the situation and your good intentions to keep the new payments current.
5. Document your situation:  if you lost your job or had your hours cut, provide evidence from your employer.  If you had a medical issue, give them copies of the medical bills.  You are simply trying to show your lender that you are a responsible homeowner deserving of a second chance.
6. Give them copies of your current pay check stubs, award letters, W2′s, bank statements to further verify your current financial position.  If you have a pending job offer, something showing your projected income.
7. Find out your lenders debt ratio requirement to qualify for their loan modification help.  Each lender has put in place guidelines that you must meet in order to qualify.  Most debt ratio guidelines are between 34-45% -this means the percentage of your gross monthly income that you spend each month on housing expenses must be within those figures.  Once you know your particular lenders requirements, you will be able to adjust your budget accordingly and prepare your paperwork properly.

This is just a basic overview of some of the tips that can help you to get the loan modification help you need.  It is up to you to take the time and make the effort to learn as much as you can about your options before making any decisions affecting your home and family.  Simply make the decision to take control of your financial future by committing yourself to research and learn about the loan modification process so you will be able to increase your chances of a successful loan modification that will help you stay in your home.  Thousands of homeowners have already gotten the help they needed-you can too!

You can get the help you need to understand the loan modification process by ordering and downloading The Complete Loan Modification Guide. This is a low cost, easy to read handbook that will provide you with everything you need to prepare a professional and acceptable loan modification application. You are provided with all of the necessary forms and given detailed directions on how to complete them properly. The Complete Loan Modification Guide will take you step by step through calculating your debt ratio, completing the financial statements, writing your hardship letter and then putting it all together to submit to your lender. Get started today on the path to secure home ownership, order and download The Complete Loan Modification Guide.

For more information about  loan modification help, please visit us at: http://www.myloanmodificationcenter.com

Our nations economy is facing unprecendented challenges that require unprecendented action.  The Federal Goverment is ready to throw out a lifeline to the millions of homeowners who cannot afford their current home loan and are out of options.  The combination of declining home values, adjustable interest rate loans, tighter lending standards and a looming recession have created a toxic brew desperately needing a far reaching and meaningful solution.  It is now widely acknowledged that systematic and standardized loan modification help is the most effective measure to stem the avalanche of foreclosures that are preventing economic recovery.  Most lenders are complying with the Federal Governments strongly worded messages to provide immediate loan modification help to as many homeowners as possible.

Keep in mind that with close to 2 million homeowners needing loan modification help, lenders are unprepared to handle the tremendous demand for mortgage relief.  Many banks are hiring more staff and opening counseling centers to better handle the influx of loan modification requests.  Patience and persistence are required if any borrower hopes to be successful in obtaining loan modification help.

The best way to start the loan modification process is to learn as much as possible about how it works, who qualifies and why, what loan modification programs are available, and what to expect throughout the process.  Struggling homeowners need to take the time to do their homework and be prepared to present their situation in the best light to their lender if they hope to get loan modification help.  Unfortunately, not everyone will qualify, but once you learn your lenders programs and guidelines you will have a better chance for approval.

All banks have loan modification guidelines that must be met.  Borrowers must provide financial statements that document their income and expenses, demonstrate a financial hardship, and meet certain debt ratio requirements to qualify.  Having the information upfront, taking the time to prepare your paperwork properly and submitting an acceptable loan modification application will ensure a better chance of success.  Don’t be confused or frustrated, make the decision to take control of your financial future by educating yourself about your options, then start the process to get the loan modification help you need and deserve.  Thousands of homeowners have already gotten a loan modification, you can too!

You can get the help you need to understand the loan modification process by ordering and downloading The Complete Loan Modification Guide. This is a low cost, easy to read handbook that will provide you with everything you need to prepare a professional and acceptable loan modification application. You are provided with all of the necessary forms and given detailed directions on how to complete them properly. The Complete Loan Modification Guide will take you step by step through calculating your debt ratio, completing the financial statements, writing your hardship letter and then putting it all together to submit to your lender. Get started today on the path to secure home ownership, order and download The Complete Loan Modification Guide.

For more information about loan modification help, please visit us at: http://www.myloanmodificationcenter.com

• Proactive outreach to qualified borrowers offering modification terms in writing
• 24 new regional counseling centers
• 300 additional loan counselors to meet homeowners face to face
• No new foreclosures while the program is implemented

Homeowners who need a Chase loan modification on their principle residence will see the benefits of this program within the next 90 days.  The bank is also offering loan modification help to homeowners who have loans with Washington Mutual and EMC, both of which Chase now owns.  JPMorgan Chase inherited a large portfolio of Pay Option Arm loans when it acquired WAMU and EMC earlier this year.  All Chase loan modification offers on these types of loans will eliminate negative amortization and will be more affordable for borrowers in the long run.

The enhanced Chase loan modification will offer financing alternatives featuring:

1. 30 year fixed rates
2. Principal deferral
3. Interest only payments for 10 years
4. Target payments at 40% of borrowers gross income

Qualified borrowers will have to provide proof of income and expenses to meet the debt ratio guidelines for a Chase loan modification.  Debt ratio is the percentage of gross monthly income that is spent each month on housing expenses.  By adding up the principal and interest, property taxes, insurance and HOA if applicable, then dividing that total by the gross monthly income, a debt ratio percentage can be calculated.  Borrowers will also document a financial hardship for review.  Homeowners interested in applying for loan modification help should first take the time to do their homework and learn about the loan modification process to improve their chance for approval.

You can get the help you need to understand the Chase loan modification process by ordering and downloading The Complete Loan Modification Guide. This is a low cost, easy to read handbook that will provide you with everything you need to prepare a professional and acceptable loan modification application. You are provided with all of the necessary forms and given detailed directions on how to complete them properly. The Complete Loan Modification Guide will take you step by step through calculating your debt ratio, completing the financial statements, writing your hardship letter and then putting it all together to submit to your lender. Get started today on the path to secure home ownership, order and download The Complete Loan Modification Guide.

For more information about mortgage loan modification, please visit us at: http://www.myloanmodificationcenter.com

Learn how!

It may all be Greek to you, but you can get the loan modification application help you need without paying thousands of dollars.  A loan modification may offer the relief you need from unaffordable home loan payments and offer a solution to help you stay in your home.  Even the Federal government is getting involved to offer inducements to lenders that agressively offer loan modification help to their struggling borrowers.  Slowly but surely the momentum to offer loan modification help is growing as lenders have finally realized it is in their best interest to offer a loan modification and help the homeowner avert foreclosure.

Still, not every homeowner will qualify for a loan modification.  Each lender has guidelines that must be met to qualify for loan modification help.  These guidelines include proving that the borrower has an acceptable debt ratio and hardship situation.  So how do you know if you would qualify for one of these loan modification programs?  What is the best way to get the loan modification application help you need?

Pay a Company?

You could hire a loan modification company to represent you with your lender.  Based on the information you provide, the company will complete the forms and submit the loan modification application to your lender for review.  Depending on how those forms were completed, your lender will decide if you qualify and if so, make a loan modification offer to you.  The offer may include a short term or permanent reduction in your interest rate, a longer loan term or an interest only option for a pre-determined period of time.  Sometimes, there is some negotiating on the final loan modification terms.  An experienced and capable loan modification company can help get you the best terms available in your particular circumstance.  The trick is finding a company that has experience and will work hard for you.  Literally thousands of loan modification companies have sprung up all over the country, with little or no regulation or oversite. 

Another option is to take the time to learn about the loan modification process, what it takes to qualify, then invest your time and energy into preparing your own loan modification application.  It may seem too daunting if you have little or no financial experience, but with some upfront knowledge and preparation you can accomplish the same results as many loan modification companies-one BIG difference-you saved yourself thousands of dollars in fees.  Remember, no one can guarantee you results-but also remember that no one will work as hard to save your home as you will.  After all, you have the most to gain and the most to lose.

So, whether you decide to work on your own or hire a loan modification company, it is imperative to get informed and learn as much as possible about the loan modification process so you will have a good general knowledge, know what to expect and what questions to ask.  Now is not the time to leave your financial future to chance, you can take control of your future with just some time, effort and determination.  Saving your home is worth it!

An excellent source of up to date and unbiased loan modification information, The Complete Loan Modification Guide is a low cost handbook you can order and download right online.  You will be provided with everything you need to prepare a professional and acceptable loan modification application.  You will get all of the required forms along with detailed directions on completing them, help to calculate your debt ratio, assistance to write an effective hardship letter, learn you legal rights, and much more.  Get the loan modification application help you need in one easy to follow, step by step guide. 

 Order and download The Complete Loan Modification Guide now and get started on the path to secure home ownership again.

For more information about loan modification application help, visit us at:

http://www.myloanmodificationcenter.com

Mortgage loan modification is all over the news lately as over a million homeowners facing default desperately seek a solution to save their home.  Confused borrowers are left wondering if a mortgage loan modification is an option they can do themselves or do they have to pay thousands of dollars to a loan modification company?  For many stuggling borrowers, the prospect of paying thousands of dollars with no guarantee of the outcome is not an appealing or even feasible option. 

So, if you are trying to figure out if you even qualify for a do it yourself mortgage loan modification and how best to proceed with the loan modification process, where do you start?  Obviously, if you are struggling with unaffordable home loan payments, forking out thousands of dollars to an unknown loan modification company is not something to rush into.  You can’t afford to waste your hard earned money on empty promises and inexperienced agents who are anxious to sign you up for their service.  Currently there is no license required or oversight in place for loan modification companies.  Before you make any decisions affecting your home and family, you need to take some time to get educated about the loan modification process and learn how it works.

Mortgage loan modifications have been around for a while, but until recently were very rarely considered as an option for homeowners.  Only the most dire circumstances would entice a bank to offer any type of loan modification and when given, was not a significant change to the original terms of the loan.  Now, however, with the widespread housing market and mortgage upheaval, even the Federal Government is urging lenders to contact defaulting borrowers with streamlined and meaningful loan modification programs to help them avert foreclosure.  Everyone agrees that until the national foreclosure rate decreases, the economy will not be able to recover.  Mortgage loan modifications are recognized as the most viable method to keep borrowers in their homes.

Many new mortgage loan modification programs are being launched that promise to make the process easier and quicker with standardized loan modification offers.  The only caveat is that you still have to meet certain qualifications to be given these modified loan terms.  Bank of America, owner of Countrywide and Indymac Federal Bank are two lenders who have implemented extremely aggressive and far reaching loan modification outreach efforts to their borrowers who have adjustable rate and Option Arm type loans.  Most other lenders are in the process of initiating their own streamlined mortgage loan modification offerings.

Mortgage loan modification is not rocket science-you can learn the basic qualifications and complete the required forms with some research and preparation.  Once you know what your lender needs to see on your application in order to approve it, you will have a good chance of completing the mortgage loan modification application properly to help ensure it’s approval.  Your lender will primarily be looking at your ability to repay the new, modified loan payment, not only now but in the future.  If you can show them that you will be able to sustain that new payment, they will in all likelihood offer you a modification to your current loan.  Your time and effort would be well worth it.  The banks do not want any more foreclosures on their books, so they are really motivated to find a loan workout solution for you.

If you decide that a mortgage loan modification is just too much work or too daunting for you to try on your own, you still need to learn about the loan modification process before deciding to hire a company to represent you.  Why?  Because you need to make sure that the company you pay thousands of dollars to has the experience and knowledge to actually obtain a loan modification on your behalf.  In most cases, they are filling out the forms with the information you provide and sending it in to your lender.  They will perform the follow up phone calls, and assist in the final negotiations with your lender for you and attempt to get the best mortgage loan modification available for you.  The best of these companies work directly with an attorney experienced with loan modification cases.

You might feel that you have already been taken advantage of when you got your home loan, perhaps did not understand the terms and so now you are facing default.  Don’t let that happen again-take the time to do your research, learn about the mortgage loan modification process, then decide how to best approach your lender.  Even if you decide to pay a company, at least you will know what questions to ask and know how the process should be handled.  There are always people out there willing to take your money, don’t be a victim again.  You can take control of your financial future, simply commit yourself to learning all you can so you will be able to make informed and wise decisions.

You can get all the mortgage loan modification information you need in one low cost, easy to read handbook.  The Complete Loan Modification Guide will take you step by step through the loan modification process.  You can order and download this handbook right online and start learning about how to qualify for a loan modification.  You learn about debt ratio, how to complete the required loan modification forms properly, help with your financial forms and budgeting, hardship letter assistance, your legal rights and much more.  Take the time to educate yourself-an informed homeowner is hard to take advantage of!  Get the help you need, order and download The Complete Loan Modification Guide today and get started on the path to secure home ownership.

If you would like more information about mortgage loan modification, please visit us at: http://www.myloanmodificationcenter.com

Loan modification help has been slow in coming, and it seems that homeowners who have tried to contact their bank to obtain a loan workout have encountered delays, confusion and frustration.  The FDIC is now considering a far reaching program that would induce lenders to aggressively offer a streamlined loan modification program to their borrowers facing foreclosure due to financial hardships.  Lenders who have been hesitant to offer any long range, meaningful loan modification help would, under the Federal loan guarantee program, be rewarded with credit incentives and Federal Guarantees for the modified loans which meet government standards.

Distressed homeowners who need loan modification help are urged to respond to telephone calls and direct mail offers from their lenders regarding loan workout solutions.  Almost 1 in five homeowners is currently delinquent on their mortgage, and the federal government is strongly encouraging lenders to work with borrowers to help them avoid foreclosure.  JPMorgan Chase and Countrywide have both announced suspension of foreclosure proceedings for borrowers who are in the loan modification process.

Homeowners who are stuck in an unaffordable home loan and facing default need to learn about the loan modification help being offered by their lender.  Unfortunately, not all borrowers will qualify for a loan modification, so knowing what your lender is looking for to approve a loan modification application is extremely important.  Before you contact your bank, learn about the loan modification process so you will know how to submit your paperwork and have a good chance of approval.

You can get all of the information you need to know in a low cost, easy to read handbook, The Complete Loan Modification Guide.  You can order and download this guide right online and get started learning how to qualify for loan modification help, learn how to complete the required forms properly, how to calculate your debt ratio, help with a convincing hardship letter, your legal rights and much more.  The Complete Loan Modification Guide will provide you with everything you need to prepare a professional and acceptable loan modification application.  Get the loan modification help you need an deserve-order and download The Complete Loan Modification Guide today and get started on the path to home security again.

If you would like more information about loan modification help, please visit us at: http://www.myloanmodificationcenter.com