Our foreclosure and pre-foreclosure clients who wish to retain their home must consider a loan modification, and we help our clients through every step of the loan modification process. Put simply, a loan modification re-works the terms of your mortgage loan to make your monthly mortgage payment more affordable.
Loan Modification Process
We handle our client’s loan modifications in-house and the process begins with our clients providing us with authority to speak directly with the bank directly (known as a bank authorization). We then assist our clients in completing the request for mortgage assistance form (known as the RMA) and gathering all necessary financial supporting documentation. Common financial documents required for a loan modification application include: tax returns for 2 years, bank statements for 6 months, pay records for 6 months, and a completed 4506-T.
Once the bank receives a complete financial package and asks any additional follow-up questions, then the loan modification application is submitted to the bank’s underwriting department for final review. The underwriting process takes approximately 30 to 45 days. Typically, a bank will review our client’s loan modification application for any federally funded loan modification opportunities as well as any bank specific loan modification options and bank specific repayment options.
Trial Loan Modification Offer and Permanent Loan Modification
If the loan modification application is approved, then the bank will generally provide a trial modification offer for three months followed by a permanent loan modification. If you are interested in a loan modification or you know someone interested in a loan modification, call the attorneys at Thompson Legal, P.A.