Denied on HAMP Loan Modification Program? Tips on Home Affordable Loan Modification Plan

If you have been denied on HAMP loan modification program then you are reading the right thing. HAMP (Home Affordable Mortgage Plan) by federal government is an effort to convert the existing mortgage tenure so that it can become affordable for the homeowners. Nowadays economic crunch is such that it is becoming difficult to repay the existing loans that are actually at an inclined rate. This home loan plan has been especially designed for people who have their mortgages approved by FHA. You can now get your home loans revised if they are backed by FHA, which means that your lender is an approved FHA lender.

Tips On Home Affordable Loan Modification Plan

* If you really want to get your mortgage modified then first thing you need to check whether your mortgage is coming under FHA or not. If yes then the first step is completed. Now you have to make sure that this loan is a new loan and has not been modified before. Any loan which has already been revised under Obama's loan modification program would not qualify for this.

* Now, you will have to complete all the documentations required by the bank. Ask your bank for a complete list of documents that need to be submitted on time. In most of the cases, you need to give your bank statements, income accounts containing profit and loss account, balance sheet etc. Also prepare a financial worksheet that you have to submit so that they can analyse your financial capability. Apart from all these, you may also require to submit your identity proofs and existing loan details.

* The third and the most important step would be to write a hardship letter to the lender. A hardship letter shall be written in such a way that it can clearly explain the reason for your hardship and the steps that you have taken to get back to normal. Along with this, also mention your positive intentions to repay the loan. This document would be submitted along with all the other docs mentioned above.

* Now submit the file in the bank and wait till it gets processed. If every thing falls in place, you would soon be able to get the modification approved on your loan. But you have to keep in mind that you are going to assist and cooperate with the bank at all times by providing all the information needed.

To know more about Home Affordable Mortgage Plan and to check if you qualify