Frequently Asked Questions

What Are: Loan Modifications

There are many frequently asked questions when it comes to loan modifications and adjusting your mortgage rates. Below is information to help answer questions such as: How does a loan modification work? What does eModifyMyLoan do for me?

What has the federal government done to help homeowners?How does a loan modification work?What are the requirements to be considered a good candidate for a loan modification?What is an example of a hardship situation?Will a loan modification help me avoid foreclosure?What does eModifyMyLoan do for me?

What Are: Short Sales?

There are many frequently asked questions when it comes to selling your home for less than your mortgage balance. Below is information to help answer questions such as: What is a short sale? Will a short sale hurt my credit? What does eShortSaleMyHome do for me?

What has the federal government done to help homeowners?What is a short sale?How do I get my lender to accept my short sale offer?Will a short sale hurt my credit?What does eShortSaleMyHome do for me?

What has the federal government done to help homeowners?

Recently the Obama Administration provided guidance to lenders to negotiate conforming mortgage loans on owner occupied residences. This program is known as the Home Affordable Modification Program which is intended to stabilize the housing market in America and help reduce monthly mortgage payments to more affordable levels for homeowners. For more information on this plan, visit www.makinghomeaffordable.gov. If your lender previously denied your modification request you may want to consider sending another one with eModifyMyLoan.

How does a loan modification work?

A loan modification is the adjustment of the terms of a loan by the lender. Typically this occurs when the borrower can no longer afford to make payments on a loan. Instead of defaulting, and beginning foreclosure proceedings, the borrower and lender negotiate new terms. Lowering the interest rate and extending the term of the loan are common ways to lower a payment. Lenders will also sometimes reduce the principal amount owed.

What are the requirements to be considered a good candidate for a loan modification?

If you have a desire to keep your home but have experienced the occurrence of a financial hardship, you could be a good candidate for a loan modification. You must, however, have a job or other source of income that ensures you can make the lower monthly payments now and moving forward.

What is an example of a hardship situation?

There are numerous circumstances that could be considered hardship situations. Some examples of hardship include: divorce/separation, death of a family member, military service, loss/reduction of income, and extensive medical costs due to illness. eModifyMyLoan includes hardship letters and templates that becomes part of the package you present to your lender.

Will a loan modification help me avoid foreclosure?

Yes. If you are in the midst of a financial hardship, a successful loan modification can help you avoid foreclosure by restructuring your mortgage loan so your monthly payments are more affordable.

What does eModifyMyLoan do for me?

eModifyMyLoan gives you the tools you need to handle the loan modification process directly with your lender from the comfort of your home, without hiring an expensive modification company. Simply fill out the online form and then e-mail, fax, or print out and deliver your eModifyMyLoan package to your lender for consideration.

What has the federal government done to help homeowners?

Recently the Obama Administration has provided guidance to lenders to negotiate conforming mortgage loans on owner occupied residences. This program is known as the Home Affordable Modification Program. For more information on this plan, visit www.makinghomeaffordable.gov. If your lender denied your modification or short sale request prior to March 4, 2009, you may want to consider sending another one with eModifyMyLoan or eShortSaleMyHome.

What is a short sale?

A short sale occurs when a home is sold for less than what is owed on the mortgage, and the lender agrees to accept a payoff for less than balance. This is occurring across the country as home values have fallen over the past few years.

How do I get my lender to accept my short sale offer?

A lender may choose to accept a short sale offer if they believe it will be less costly to them than completing a foreclosure. They also want to know that the seller is unable to afford to make the payments or make up for the short balance with their own funds.

Will a short sale hurt my credit?

A short sale may adversely impact your credit history, but not nearly as much as a foreclosure or deed-in-lieu. Typically the loan will be reflected as ‘settled’ or ‘pre-foreclosure in redemption’ on your credit report which is not as negative as a ‘foreclosure.’ Following a short sale, there is also a shorter wait period for securing a new home loan (within two years, versus the three plus years following a foreclosure).

What does eShortSaleMyHome do for me?

eShortSaleMyHome gives you the tools you need to handle the short sale process directly with your lender without hiring an expensive third party company. Simply fill out the online form and then e-mail, fax, or print out and deliver your eShortSaleMyHome package to your lender for short sale consideration.

eShortSaleMyHome does not replace the need for a licensed real estate agent. We encourage you to list your home with an agent. Let eShortSaleMyHome.com help you find a reputable real estate agent who has extensive short sale experience. Get your free, no obligation consultation with a short sale expert today! Click here.