Load Modifications

                                                             Loan Modification


A loan modification is an agreement between you and your mortgage company to change the original terms of your mortgage.  Many servicers have implemented modification programs for struggling homeowners under the Making Home Affordable Program (HAMP).  A modification could involve changes such as reducing your interest rate, extending teh term of the loan, forbearing or forgiving principal, or a combination of these options.

Requirements for Loan Modification Plans:
          -  The borrower is:
                    - An owner occupant of 1-4 unit property
                    - Has sufficient documented income to support the modified payment
                    - Has financial hardship and is delinquent or at risk of imminent default
          -  The loan:
                    - Amount owed on 1st mortgage is equal to or less than $729,750
                    - Mortgage was originated on or before January 1, 2009
                    - First mortgage payment (PITI + HOA fee) is greater than 31% of borrower's gross income
          -  Documentation:
                     - Request for Modification and Affidavit Form (Click Here)
                     - Signed 4506T-EZ or 4506T (Click Here)
                     - Signed copy of most recent (2009) Tax Return
                     - Two most recent paystubs or evidence of income
                     - Most recent utility bill
                     - Most recent one month bank statement
                     - Profit and Loss Statement (For self-employed borrowers only)
                     - Lender/Servicer provided Financial Worksheet

Available Modification Programs:
          Home Affordable Modification Program (HAMP):  A modification to your mortgage, reducing your interest rate to as low as 2%, extending the loan term up to 40 years or deferring of principal, interest-free until the loan is paid off.
                    - Requirements: All requirements and documentation is listed above.

          Home Affordable Unemployment Program (UP):  A temporary suspension or reduction of your monthly mortgage payment for a specified period of time, at least 3 months.  Modified payment amount will be reduced to no more than 31% of gross monthly household income.  Once you are reemployed, you can be evaluated for a HAMP modification.
                    - Requirements:  In addition to the base requirements for a modification listed above, the loan must not have previously been modified under HAMP or received forbearance.

          Home Affordable Second Lien Modification Program (2MP):  Works in tandem with HAMP to lower payments on 2nd liens.  2MP can lower your interest rate on 2nd mortgages for 5 years.  After 5 years, this interest rate will match the rate on your modified 1st mortgage lien and become fixed.
                   - Requirements:  In addition to the base requirements for a modification listed above, the homeowner must have their 1st mortgage lien modified  through HAMP, the 2nd lien must have been originated on or before January 1, 2010 and the 2nd lien holder must be a participant in the 2MP program. 



Request a Loan Modification