High Mortgage Payment?
So, what is considered a high mortgage payment?
Basically it comes down to a formula and a ratio, and has nothing to do with anyone else's payment. Bottom line: If you add your current mortgage payment to your property tax and home insurance, and if that number is more than 31% of your current net income, then they figure your mortgage payment must be too high. The catch is that all your numbers must be verifiable. The days of "no documentation" are over. And to prove your "high payment" is a financial hardship, you have to back it up with a cost of living worksheet that agrees with you.
If your current mortgage payment is already below 31% of your current net income, this won't work for you.
If you would like to do your own loan modification, and would like to be ahead of the game, the information available here can save you a lot of confusion and the headaches associated with making a mistake.
If you have any questions about loan modification that haven't been addressed on this website, please drop us a note.
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