Now back to your question. In my experience most loan modifications happen only after the homeowner had been late on payments. Banks typically do not approve loan modifications for homeowners that are still paying their mortgage. So if this is your situation, then chances are that your credit is hurt and you may not qualify to buy a new home.
However each case is different and your best bet is to talk with someone that can walk you through the whole process. It shouldn't cost you anything to check it out.
Hope this helps. Good luck!
Jose Dias, REALTOR
From my experience, I think there is a chance, given the facts you provided, though it may not be easy. I recommend that you contact your current Buyer's Agent or consider one of AZ Buyers agents/AZ Mortgage Brokers that answered your inquiry to get the names of local Mortgage Brokers that can look at your specific situation to see if there is a way to make it work. Having a tenant under contract may also help, but ask an experienced lender.
A loan modification is a lender's attempt to avert a financial disaster and is based on the borrower demonstrating the need for this exception. Unless you can demonstrate a positive change in your financial situation it's unlikely that you will be considered a good lending risk by the bank.
On the other hand....anything is possible. But it may be best to explore other options.
Typically the best way to progress with circumstances like yours is to meet with a good, experienced Mortgage Banker/Broker. A good mortgage person will be able to provide you with options, you may or may not like them but it's worth exploring. A good mortgage person will be on your team to find options that can accomplish the goals you have set.
What location are you wanting to end up near?
Arizona Homes for Sale by a Guy from Iowa
The answer is "it depends." It is determined on a case-by-case basis. The overall concern of the lender is what was the hardship when you modified your loan and has it been resolved. If you situation is the same, it may be difficult to get a loan. If the issue has been resolved and there is no longer a hardship, you would postentially be able to qualify for a loan. We have done many loans for people who have been in this situation.
Feel free to follow up with questiosn at 602-522-9494 ext 201.