Have you been the victim of a personal financial crisis lately? It is happening to a lot of people in these troubled times. If this is your situation, then take a minute to evaluate your finances carefully. Have you lost sources of income due to layoff, death, hospitalization, divorce, or natural disaster?
Unfortunately, scenarios like this are replayed all across the country every day. A catastrophe like the ones above cause lost wages for a homeowner, and suddenly they fall behind on mortgage payments and end up losing their house.
What to do next? Grab a calculator and take a seat. Add up all your regular monthly expenditures, from groceries to child care to debt payments. Add them all up, subtract from your new monthly income. This number will give you a clue at whether it’s possible to make ends meet on what you’re making now.
There are times when this exercise can save you, but sometimes the math just speaks for itself. The only way for you to get help is to ask your bank about home mortgage modification. When you call, you’ll be asked about your financial situation and expenses, so it’s best to gather this information before you call in order to save time.
What kind of documents you need is determined by the types of income and expenses that apply to you. Have copies of large bills, W-2 forms from work, copies of recent tax returns, and a list of monthly expenses to refer to in the phone call.
Don’t be embarrassed to seek help from your mortgage lender. That’s part of what they’re there for. If you’ve had a setback in your life, then you are allowed to request a home mortgage modification to get you back on your feet again.