hardships such as income decline or job loss in the houshold due to some reason such as death or divorce or illness.

First, you must prove to the lender that there is a reason for your loss of income or decrease in income. This may be due to loss of your job or an injury at work that may have caused some type of medical disability that has left you at home for quite some time. This in turn may have left you unable to make your mortgage payments. You may not apply for a loan modification if you have recently filed bankruptcy. This is not a reason to get a loan modification. Loan modifications are established to help those with a hardship recover from their losses and get back on track. This process is not available to be taken advantage of in anyway.

What is not Considered a Hardship and How do I prove a Hardship?

You may not default on your mortgage, in order to apply for a loan modification hardship. Again, bankruptcy is not a reason to apply for loan modification; you will be instantly turned down. This is not a hardship, but another way to help you start over with your finances.

In order to prove a hardship, you must write a hardship letter that explains the loss of funds, including dates and figures. Next, you must complete a hardship form online or through the mail. The lender will need a copy of the past two year tax returns along with copies of two of your most current bank statements. A copy of your last two pay stubs is required, even if this is disability or unemployment, etc. If the property is for sale, the lender will require a listing agreement. A loan modification will now be in the works and every effort will be made to save your home.

Foreclosure due to hardships does not seem fair and that is exactly why the loan modification process has been established. With this option you may be able to lower your monthly payments just enough to save your home. If you feel that this process is a bit more than you can handle on your own and you need help, there are plenty of professional companies that will assist you in the process, for a small fee. Save your home today and inquire about a loan modification, it could be that last chance you have been searching for.