Mortgage Loan Modification Programs Eligibility Requirements

Mortgage Loan Modification Programs Eligibility Requirements

A mortgage loan modification program can help you reduce your monthly obligation, allowing you to more easily pay for your living expenses and, perhaps, save for your retirement. You do not have to continue to struggle each month to pay your mortgage payment. There is help available and it is easy to obtain.

There are many urban legends surrounding mortgage loan modification. You have heard the term ten thousand times but you are not sure how the program works or who it is geared towards. You know that you need help making your payments each month but have not applied for the program. The following information should help answer your questions and encourage you to take advantage of this program.

1) The Mortgage Loan Modification Program is only for people who are in foreclosure:

This is not true. The loan modification program is available to anyone that is having trouble making their mortgage payment due to a change in finances. You do not have to be in foreclosure to apply.

2) The Mortgage Modification Program is only for people who are unemployed.

Again, this is not true. The program states that any apparent changes in your finances that result in hardship qualify. This means a recent retirement, loss of retirement income from market failures, taking a cut in pay to save your job or the loss of a spouses income through any event qualifies.

3) The Loan Modification Program is only for low income households:

The mortgage modification program is designed for everyone. You do not have to meet income guidelines; just show a loss of income.

4) The Mortgage Loan Modification Program will not reduce my debt enough to be worthwhile:

Due to new legislation your mortgage payment can no longer exceed 31% of your gross income. To get your payment that low lenders are forgiving part of the debt as well as reducing interest. Both of these acts will decrease your overall debt making your life much easier.

5) Using the services of a professional loan modification attorney should be considered:

While there are many benefits to loan modification program, these benefits can easily be denied from having ill prepared paperwork or by missing submission deadlines. Using a qualified attorney will help ensure that you and the lender meet all the requirements of the new laws.

The author has put forward some of the important points relating to the Mortgage Loan Modification Program. He seems to have done an in-depth study relating to the issue and has put forward some the points which are really helpful to the homeowners and will solve there problem to the great extend. If you are looking for more information, visit: ‘Mortgage Loan Modification