Foreclosure in 91311>Question Details

Kelly, Other/Just Looking in California

Loan modification income requirements

Asked by Kelly, California Fri Dec 12, 2008

I live in southern California, purchased my home in Oct 05 for $750,000. We got into the house with a option 1 arm loan that reset after a year and our payment went up to almost 4000.00 (Over $27,000 of negative am went on the back end of our loan We refinanced in December 2006 and only could afford an interest only loan. We have never been behind any payments because we had a substatial chunk of cash in the bank, which is now gone due to the high mortgage. I called Countrywide to request a loan mod in September and was told no, that she didnt think we could afford a 30 yr fixed payment. I called again in November and was told we arent behind any payments and they cant help us with a loan mod until we are behind 60 days. So now we are going to not be able to pay our mortgage in full this month. I dont know if we should even pay what we can afford. What are the income requirements for a loan mod? We make ove $150k but after writeoffs show $30k. Im worried this wont be enough.

Help the community by answering this question:


Most lenders will tell you that you can't do a loan mod if you;re not behind on your payments. This is not the case and they are just stalling you and will give you the run around. If they think you can make your current payment they will not want to do the loan mod. The federal government is putting pressure on lenders to help homeowners do the loan mods and they require that you have at least one hardship from a list of about 20 and it sounds to me like you may have more than one. Yes you could qualify for a loan mod and substantially lower your monthly payment and possibly get a lower fixed rate without paying high attorney fees. Contact me and let me show you your options.

Ingrid Smith
Loan Modifications
0 votes Thank Flag Link Thu Oct 15, 2009
Why not consider a short sale and settle with an apartment for a while until you can save some money for another house that you can afford? Securing your income is probably the most important at this time because you will not know what would happen; at least you have some cash in the bank. Many homeowners would rather rent right now if their income is just going to a house payment that they can't afford. Short sale is a very good option if you truly cannot afford to keep the house.

Charita King
0 votes Thank Flag Link Fri Oct 2, 2009
Dear Kelly,

I suggest you contact my rep at AALMG (All-American Loss Mitigation Group). They have worked with many of my clients and gotten them GREAT results.

Just fill out the form and a representative will get back to you ASAP!

Good Luck!
Web Reference:
0 votes Thank Flag Link Mon May 11, 2009
I got a loan mod with countrywide at dealing with them for 5 months. They went over my financials 4 times and it wasn't until I contacted the office of the president that I finally got someone to review my file and consider the modification. They can arrange terms that will be affordable for you regardless of how much money you make. They can offer you a 10 year fixed interest only or a 30 year fixed interest only. You just need to prepare a well written hardship letter. I found one at the site below.......good luck
Web Reference:
0 votes Thank Flag Link Wed Feb 11, 2009
It is not necessarily income but dti.... You do have to be earning money to get a loan modification.
0 votes Thank Flag Link Sun Feb 1, 2009
shoot me an e-mail thru my website and I will forward loan modification documents to help support your case to the lender. It's time consuming, but you can do the loan mod yourself.
Web Reference:
0 votes Thank Flag Link Fri Dec 12, 2008
The Hagley G…, Real Estate Pro in Pleasanton, CA
Thanks for the fast reply! Do you have any idea about my question regaarding the income for the loan mod? Thanks
0 votes Thank Flag Link Fri Dec 12, 2008
My suggestion is if you can not pay the whole payment, you should discuss it with an attorney. I f you do not make the payment you should take what money you have and put it aside to help with future payments if you are able to get the loan modified. Most banks become more agreeable after you are behind 2-3 months.

Thomas Santore
Associate Broker
Coldwell Banker

Visit my web sites at and
0 votes Thank Flag Link Fri Dec 12, 2008
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer