A home modification loan is the hot ticket thing these days in real estate news. The most popular modification of mortgage program that is available today is the Making Home Affordable, offered by the government. Unfortunately, long-drawn application processing times for modification of mortgages are the result of inadequate communication between lenders and borrowers; this has made the process of receiving a home modification loan very frustrating. To improve the efforts of lenders to get applications faster and more efficiently processed, President Obama gave a directive to the lenders to quicken the application and the review process for homeowners who qualify under HAMP within thirty days from the date of the initial application for a modification of mortgage.

The new home modification loan guidelines require verification of income from the borrower and provide examples of documents can be accepted as proof of income.

A survey of the modification of mortgage process showed that a high number of rejections under HAMP were due to inefficient application processing as the loan modifications guidelines were not followed. Many families were forced to accept foreclosure due to processing times since at the time of denial there was no additional time to reapply for a home modification loan. RTS Processing follows the Home Affordable Modification Program guidelines diligently, helping to ascertain eligibility and make up an application for a modification of mortgage that has the best chance of approval. The details required for a home modification loan may easily go unnoticed if consumers apply on their own, causing a lot of hassle and delaying the processing of the file.

The new regulations of the Obama home affordable modification program require the lenders to process applications quickly and provide: 1. Written verification of receipt of loan modifications request within 10 days. 2. Approval or denial for loan modifications within 30 days of receipt of homeowner’s application. 3. Three months trial modification given to qualified borrowers which become permanent automatically. 4. In case of denial, homeowners must be offered an option of short sale or a deed-in-lieu to transfer to more affordable housing.

The new regulations for the modification of mortgages ask lenders to process applications quickly and provide: 1. Written verification of receipt of the request for a home modification loan within 10 days. 2. Approval or denial of modification of mortgage within 30 days of receipt of the request by the owner. 3. Three month trial modification given to qualified borrowers which becomes permanent automatically. 4. In case of refusal, the owners should be offered an option of short selling or a deed in lieu or help transferring to a more affordable housing.

The HAMP Home Modification Loan Guidelines help eligible borrowers to start a modification of mortgage for a trial period. The probationary period is to test the ability of the borrower’s ability to make the new mortgage payments. A borrower who is approved and successfully completes three consecutive timely mortgage payments from the trial modification is automatically placed in a permanent home modification loan. The payments on the permanent modification of mortgage are the same as the trial loan modification. The new program guidelines require that income should be submitted to review documents before entering the trial period.

The new rules must use the following data of the borrower prior to the trial modification:

1. For income verification, pay stubs from the two most recent pay periods (self-employed or W-2 income or unemployment income) 2. IRS Form 4506-T, which provides information on the taxes filed by the borrower for the last two years 3. Hardship letter and most recent financial statements (bank statements and a financial spreadsheet)

The new guidelines make it easier to get approved faster and start your home modification loan payments faster. Modification of mortgage loans are the best option for many homeowners who are struggling and want to keep their homes. Qualification and applications are free and the savings can go a mile! Call me today and start saving tomorrow!

Looking to find the best deal on San Diego Loan Modification Programs, then visit http://sandiegoloanmodificationprograms.com to find the best advice on Home Loan Modifications for you.

Home modification loans are being talked about around the nation in recent days. You probably know someone who is having trouble paying their monthly mortgage bill. That person could even be you. Homeowners in trouble can remain optimistic despite the current crisis.

To help responsible homeowners who have been affected by the economic downturn, the Obama administration has filed several government programs, such as modification of mortgage and home modification loans, to help protect your most valuable asset.

The “Making Home Affordable” Program has four modification of mortgage programs under its umbrella to help distressed homeowners: the Home
Affordable Modification Program; the Second Lien Modification Program (2MP); the Home Affordable Refinance Program; and the Home Affordable
Foreclosure Alternatives Program. All of these home modification loans are available to most distressed homeowners. If you are looking for a
modification of mortgage it is important to remember and understand the following:

It is necessary to qualify for government assistance home modification loans. The government is willing to help responsible homeowners to receive a modification of mortgage, provided they meet the criteria set by the government.

The “Making Home Affordable Program” can help any homeowner who meets the following guidelines:

1. Ownership of a being-to four-unit house
2. Mortgage owned or guaranteed by Fannie Mae or Freddie Mac
3. Mortgage not more than 125% of home value
4. Monthly mortgage payments are more than 31% of the monthly income (this includes principal, interest, property taxes, homeowners insurance and HOA fees)
5. The principal balance is only $ 729,750

Consultations with a professional loan processor can save time and money when applying for a modification of mortgage. A professional can help you prepare your application for your modification of mortgage, to present your situation as best as possible. Lenders like every file to fit into a neat little box and if the parameters cannot be met homeowners are denied outright, even if they are qualified for a modification of mortgage. Having a professional to prepare your file will help you present your situation to fit in the box and save time, money and your peace of mind.

When applying for a mortgage modification, unless you are in bankruptcy, avoid the involvement of a lawyer. Most lenders do not like working with lawyers and their participation may be detrimental to your application for a home modification loan. Applications that are prepared by a loan processing professional and submitted by the homeowner have the best chance of obtaining a beneficial modification of mortgage.

They are also generally about one fourth of the cost of an attorney, so you will also save money. Be wary of companies that ask for your money up front. Research all home modification loan companies thoroughly before making a purchase.

The government pays on its loans. If you wonder how a modification of mortgage works, it is as simple as ABC. The government subsidizes the loans, paying the rest through taxes. The banks participating in the program are eligible for incentives issued by the government, while having to reduce the total amount of mortgage payments up to 38 percent of the homeowner’s monthly income. Homeowners who are under the program only have to set aside as much as 31 percent of their monthly income for modified mortgage payments.

The interest rates of mortgages approved in the framework of Making Affordable Home Program remain closed in at only 2% for three, five or seven years, after which the increase in interest is one percent per year to reach the market rate of the day the loan was modified. To enable homeowners to pay the new monthly mortgage on their home modification loan, the loan can be extended to 40 years.

Want to find out more about Government Loan Modification Programs, then visit Hannah Wolf’s site on how to choose the best Government Modification of Mortgage for your needs.

San Diego has over one million inhabitants, and unfortunately, about 10 percent of them are underwater on their mortgages. As the nation continues its way towards economic recovery from the recent frightening recession, the latest round of home modification loans promises relief to hundreds of thousands of families who are on the verge of losing their homes. Recent studies have shown that about half of all homeowners who still owe money on their mortgage actually owe more money than their home is actually worth. In San Diego, this is especially a problem. Modification of mortgage programs are available to most all of these homeowners.

Loan modifications are an attempt to resolve the mortgage crisis in a way that will keep people able to make payments on their home loans while keeping lenders from losing their investments. The federal government has issued a number of modification of mortgage programs for 2011. Here’s what you need to know about the latest round of home modification loan programs.

The most important thing to understand about the modification of mortgages, is that they are almost all controlled by President Obama’s administration’s program Making Home Affordable, or HAMP. The Making Home Affordable program has been deployed to help individuals and families who are struggling to make ends meet to modify their current loan to a lower monthly payment that they can afford. In addition to the modification of mortgage, there are also resources available in the program Making Home Affordable that are designed to help owners of existing homes make their way through a deed in lieu, a short sale or refinancing to avoid foreclosure. There are also home modification loan programs in place to help homeowners who have failed to make their monthly mortgage payments catch up.

The first step in getting your home modification loan is to provide your lender with the paperwork they need to take advantage of the Making Affordable Home program and other modification of mortgage programs. This paperwork includes the home modification loan request form and letter of hardship, Tax Form 4506T-EZ and income verification are also required when applying for loan modifications. It is preferable to hire a loan processor, such as RTS Processing to work on your behalf at this stage. Lenders are overwhelmed and if you do not fit perfectly within the parameters of your lenders and the governments guidelines for home modification loans, you most likely will be refused even if you are qualified. RTS Processing is qualified to navigate the confusion inherent in loan modifications and can prepare your file to meet the requirements saving you a denial and possible lost time. After your lender has received all the necessary information in the modification of mortgage application, they begin to work with you and the federal government to work on an equitable home modification loan.

NOTE: Doing research and comparing the best home modification loan companies on the market, you will find the one that suits your financial situation the best. Be sure to ask questions and research any company or a service provider prior to payment. It is illegal in the state of California for a home modification loan company to receive payment before any work has been completed.

Hannah Wolf manages the modification of mortgage company RTS Processing where you can request a modification of your mortgage faster to stop any foreclosure or reduce your monthly mortgage payments to a manageable amount. Don’t wait to start saving thousands, call today!

Want to find out more about San Diego Loan Modifications, then visit Hannah Wolf’s site on how to choose the best Home Loan Modification for your needs.