If you can no longer afford to make your monthly mortgage payments, you may qualify for a loan modification to make your monthly loan payment more affordable. Millions of borrowers who are current, but having difficulty making their payments and borrowers who have already missed one or more payments may be eligible.
Qualification Guidelines
- Is your home your primary residence?
- Is the amount you owe on your first mortgage equal to or less than $729,750?
- Are you having trouble paying your mortgage? (For example, have you had a significant increase in your mortgage payment OR a loss of income since you got your current loan OR have you suffered a hardship that has increased your expenses (like medical bills)?
- Did you get your current mortgage before January 1, 2009?
- Is your payment on your first mortgage (including principal, interest, taxes, insurance and homeowner’s association dues, if applicable) more than 31% of your current gross income?
Walk Away Foreclosures can help you determine if you are eligible, but only your lender can tell you if you qualify. To qualify, you will generally need to show that you have sufficient income to make the reduced payments on an ongoing basis and that modification is an appropriate option given the characteristics of your mortgage and the value of your home.
If you answered yes or maybe to questions 1 to 5, you most likely are eligible for a modification under Obama’s home loan modification plan. If you answered no to questions 1 and 5, some lending institutions may or may not come to a modification agreement with you. Lenders also look at your past mortgage payment and bankruptcy history to determine whether you are eligible or not.
Besides the assistance Obama’s home modification plan provides homeowners, it also provides an incentive to lenders to accept agreements: For every successful modification agreement, the lending company receives $1,000 at the end of the year for three years as long as you pay your mortgage on time every month. This was done to encourage lenders to accept modified loan agreements.
Modifying your loan will lower your monthly mortgage payment, as well as reduce your overall interest rate in most cases.
Please fill out the quick contact form 24 / 7 or call 760-881-4335 M-F 9am-7pm PST. You will be qualified for FREE and NO OBLIGATION for a loan modification by one of our mortgage investigators.