FIRST HAND EXPERIENCE                                                                                                          

At the time I personally found myself upside down like many of you, I owed more than the current market value of my home and couldn’t refinance, and I certainly owed more than the maximum 105%, to be able to qualify for the Home Affordable Plan. So like many of you I was pretty much stuck with quite a bit of mortgage debt on my plate which including my investment properties.

The good news is that since that time, the government has increased their limits for homeowners owing 80-125% of the value for refinancing. This new limit definitely opens up refinancing opportunities to a huge class of homeowners previously ineligible. But this opportunity came a bit late for me, and that forced me to explore the loan modification option.

My husband and I, both self-employed which translates to no salaries, felt the inpact almost immediately. Just like a switch, our abillties to bring in income doing  what we do best for a living had been turned off, just like that.   A lot of monthly obligation and no income is definatley not a good outcome or feeling.  So I am here to tell you that I have been there first hand, I know how it feels, I know the frustration, I personally understand the uncertainty and hopelessness.

What you want to keep in mind now is that banks don’t want to take over any more homes than necessary, especially in a declining market, so they are willing to make concession to avoid costly forclosures.  There is also government  

  LOAN MODIFICATION COMPANIES                                                                                                                                  

Since, Loan Modification Companies have came out of the woodwork charging their big fat fees for their expertise and are now under microscope. The California Department of Real Estate is warning fraud and has 10 open investigations into these loan modification companies that are charging thousands of dollars, many who are not even licensed. Being licensed and in the industry wasn’t enough for me because lenders were not handing out manuals on how to qualify, but I had the time and the a personal incentive.

QUALIFYING                                                                                                                                    

Learning the process on how to apply for a loan modification is one thing, but getting qualified for loan modification is quite another. Like I said, I ended up with quite a bit of time in my hands when the real estate market froze and with that, some patience, resilience, strong will and persistence; good negotiating sense, record keeping, strategy and plenty of practice, I was able to figure out the tricks of their trade, their exact criteria for qualifying.

Not only was I able to successfully modify ALL Four of my own mortgage loans by ove50% reduction in payments which translated to almost $4,000 a month in savings, but this has given me the opportunity to hel many others in the same crisis and would like to help you as well.

Here is what my mortgages looked like and what the payments were modified to. I went from $6,265 total month obligation, to Now only $2,406  a monthl!!!

•  First Horizon $2,400 down to $296 p/mo

• Citi $1,749 down to $960 p/mo

• Bank of America $1,530 down to $740 p/mo

• SLS $ 586 down to $410 p/mo

The first two banks were my primary residence. The second and third are my rental or investment properties. I’m happy to report that I am still holding on to all properties, and this would probably not be possible in light of the economy and periods with extended interruptions of income, had I not successful with get my loans modified.

ADVANTAGE TO DOING  IT YOURSELF                                                                                                                  

The primary advantage of a do it yourself” loan modification is the money you will save. Most loan modification firms and legal firms will charge on an average a fee of about $2,500.00 and as high as $5000. Why pay, when I will give you all the tips and criteria you need in the Step-by-Step Guide, and for Only $19.95. This minimal fee helps sustain and support continued efforts, tools and resources for many others still in need.

APPROVAL PROCESS IS TRICKY                                                                                                                            

What I’ve learned through my own experience and assisting others that no matter how sad your story is, if you are looking for sympathy don’t think it will enhance your chances to qualifying. Their loss mitigation department is so overwhelmed with calls that you don’t even speak to the same person 2x, which by the way I found advantageous for acquiring information.

You need to keep in mind that the banks have their own best interest at heart. What usually ends up happening is that the bank will negotiate an agreement that helps them but still leaves homeowners with only a temporary solution and that all boils down to your financials.

First and foremost, they will require a “Hardship Letter,” This is the time express your hardship. Some acceptable hardships are divorce, unemployment, death of primary wage earner or borrower, loss of income, reduced hours, serious ill ness or permanent disability and declined business or failure of a business. Samples and how to prepare your Hardship Letter is included in the downloadable Step-by-Step Guide.

Following the explanation for the hardship, loss mitigation will require your financials. It is highly recommended that you prepare a “financial worksheet” so that you can see beforehand if you meet the ratios required first. Samples and Formulas are included in the downloadable Step-by-Step Guide. Either your numbers add up or they don’t. By looking at the details of the financial statement, they are able to use their preset “debt to income ratio” to qualify a borrower,. A debt to income ration is simply the ratio of total monthly expenses as a percentage of the total monthly income.

That is where the Step by Step Guide comes in to providing you the ratios, how to crunch your numbers and how to submit your loan mod request.

TAKE NOTES                                                                                                                                  

Notation one is that an actual person is not the one qualifying you. It’s about getting your figures to align with their computer ratios and qualifying bracket. So the financial worksheet will help you ensure your numbers add up before you call in and submit for your loan modification. You will find Samples and formats in the downloadable Step-by-Step Guide.

Notation two, you can try, try, try again and hopefully time is on your side. I do this day in and day out so I had the time to perfect the process, you may not have the time. Don’t waste another day and download your Step-by-Step Guide today.

Notation three, don’t play with deadlines. Even while reviewing your case, the foreclosure clock is concurrently running and that time is the difference between you losing your house or not. You may not have the luxury of 2-6 months to figure this process, and trust me it’s a process, and that is why I’m providing you a guide with it all spelled out for you.

Notation four is that there is a “specific formula” and ratio you must meet to qualify and they don’t even tell you this. I figured it that out over time. The ratios and formulas are included in the Step-by-Step Guide so you can "fine-tune" your income/expense submission. You will be able to 'TWEEK' you expenses to obtain the right ratios.

My figures initially always either came up short or over by a very fine margin or over. You’ll either end up over qualifying or under qualifying. Either way declined!

I actually had the advantage of being self employed, while many of you may not have that advantage to play with your income you may need to focus more on adjusting your expenses reporting debt.

Again, all this takes time! I had to wait another month each take, in order to legitimately provide them with a new profit and loss statement. Each take took yet another month’s wait. How I wished someone had provided a Step-by-Step Guide with necessary ratios, samples and formats to follow.

The Firth and final notation is key. That is you must always know what to expect from your lender so you can be and stay one step ahead and so you don’t waste a lot of do- over time and keep getting declined.

 GETTING STARTED                                                                                                                     

First of all Start out by downloading your Step by Step Guide.

Next be prepared to put the following checklist in place:

• Hardship Letter - Include dates, reason for delinquency, what you have done to attempt to workout problem in the past; also include any supporting documents for hardship.
• Bank Statements - Last two (2) months.
• Proof of Wages and Salary - Employed - Pay stubs for last two (2) months; Self-employed - 1040s for the last two (2) years.
• Federal Tax Returns - First and second pages (W2s) from the last two (2) years.
• Rental Agreement - If the loan modification is not for your primary residence.

INCLUDED IN THE E-BOOK                                                                                                         

This loan modification e-Book will provide the material and information you will need to work with your lender to modify your loan.

• Step by Step walk through

• Ratios and Formulas

• Forms needed

• Easy to follow Samples

• Scripts on how to negotiate with lenders