TeamCox Realtors has compiled a list of common questions regarding mortgage loan modifications:
Why Would a Lender Modify a Mortgage?
Since the average foreclosure can cost a lender at least 35 to 50 percent of a home’s property value, many lenders prefer to keep the borrower in their home, versus going through a lengthy foreclosure. As a result, most lenders are more willing to cooperate with borrowers by lowering their mortgage payments, or even improving their loan terms to help them avoid foreclosure.
What do I need to qualify for a mortgage modification?
According to the Making Home Affordable government website (www.
MakingHomeAffordable.com), you will need to present the following information to your lender loan modification consideration:
-Information regarding your first mortgage, found your monthly mortgage statement.
-Information regarding any second mortgage, or home equity line of credit on the home.
-Your credit cards’ current account balances and required minimum monthly payments.
-Your account balances and monthly payments on all other debts, including on student loans and on car loans.
-Your most recent income tax return.
-Information about your savings and other assets
-Information regarding your pre-tax monthly household gross income, including recent pay stubs, and documentation of income you receive from all other sources.
It may also be helpful to include a letter describing any circumstances that have caused your income to decrease, or expenses to increase (job loss, divorce, illness, etc.).
How do I qualify for a mortgage modification?
The first phone call to make is to your lender’s customer service department to find out what options are available to you. Make sure that have all of your financial information readily available, so you are able to discuss them.
If you are a distressed Denver homeowner, please contact TeamCox Realtors at 303-400-6060. We are Certified Distressed Property Experts, or “CDPE,” so we can help!
If you are looking for a home in Denver and the surrounding area then contact TeamCox for professional Real Estate Assistance