Need to apply for a loan modification but confused about whether you will qualify? Unfortunately, it’s true that not everyone will qualify for a loan modification to lower their payment-so how can you be sure to get your application to the front of the line and have the best chance for approval? Here are 3 Important Qualifications for approval you should know before you apply.

Loan Modification Qualification #1: You must be able to prove to your bank that you have suffered a financial hardship that has made your current mortgage payment unaffordable. There are certain circumstances that lenders will consider as an acceptable hardship situation. Divorce/separation, military service, death of a family member, job loss, reduction in income, medical expenses, illness, incarceration and job transfer are all considered to be eligible for consideration. A Loss of equity or lower value alone does not. There are three critical elements in an effective hardship letter-do you know what they are?

Loan Modification Qualification #2: Can you prove to your lender that if given the new lower modified mortgage payment you will be able to afford to maintain it now and in the future? There is a 4 step formula your bank will use to determine if you are a good loan modification candidate.  Learn and use this very same formula with The Complete Loan Modification Guide & software.  Lenders want to know that you will not be at risk of defaulting again. How can you prove this to them? Make it simple by providing the required financial statement that will demonstrate your ability to pay the new payment and help convince your lender to grant an approval for your proposed new lower payment. Your current mortgage payment, including your property taxes, homeowners insurance and any Homeowners dues, must equal more than 31% of your gross monthly income. Learn how to calculate your new target payment based on the Obama HAMP guidelines.

Loan Modification Qualification #3: Prepare and submit an accurate, acceptable and complete application to your bank for review and consideration. Your lender will make a decision based in large part on the information you provide to them. Submitting an incomplete and poorly prepared application can result in a denial of the help you need. Be sure you prepare the paperwork properly and then submit everything your lender will need all together in a professional and acceptable loan modification package.  Don’t just slap something together-take the time to learn and then prepare properly for the best results.

Loan Modification Qualification #4:  Prove to the lender that is less expensive for them to help you stay in your home rather than foreclose.  The bank really only cares about what is most cost effective for them-so if you can prove that they will lose less money with a modification then they will not be quick to foreclose.  Ask your local agent for a CMA-Comprehensive Market Analysis to prove the lower value of your home.

TIP: Make sure that you work on your financial statement before you call your lender. Do not disclose any of your income or debts until you have taken the time to work on your budget-make any necessary adjustments and know that you fit into the approval guidelines. This is easy to do if you follow the directions in a handbook and software program that does all the calculations for you automatically.  Simply input your own specific income and expenses and the software figures it all for you-see instantly whether you fit the guidelines or if you need to make some minor adjustments to you budget.

These are difficult times and more homeowners are faced with losing their homes than at any other time in our nations history. Borrowers who need help cannot wait to be rescued-help is available but you must know how to get it and be prepared to fight for your home. Start now by learning and preparing to submit your application to your lender to get the help you need and deserve. Billions of dollars in your tax dollars have been allocated for loan modification programs to help stop foreclosures. Don’t miss out on your chance to save your family’s home.

Get the help you need to prepare your own accurate and acceptable loan modification application. The Complete Loan Modification Guide kit is the best selling do-it-yourself system that takes the guess work out of preparing your financial statement, hardship letter and all of the required forms your lender needs. You get an easy to use software program-Loan Mod Quick App-as well as an easy to understand handbook with step by step directions. Why take chances with your application? Simply input your unique financial information into the Loan Mod Quick App and it calculates it all for you! It couldn’t be easier-end the frustration-Visit myloanmodificationcenter.com and order today.