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Hardship Letter Mortgage Modification Program Term Paper

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I have had to take a 15% cut in pay in order to continue working and, while I have continued to make the mortgage payments with my reduced income, other areas of my life have suffered from the scaling down of available monies. I have incurred expenses which have increased my debts, such as rising interest rates and penalties, emergency medical expenses and still have student loans to pay for, as I seek to improve my lot. As a result, my credit score has decreased from 740 to 501. Exacerbating the financial problems I am facing, I have just discovered that the property which is mortgaged is worth 5-10% less than the amount paid for it, which would make it difficult to refinance. However, I wish to point out that I have continued to make my payments in spite of my troubles, and therefore deserve the benefit of your trust. While researching financial possibilities on the internet, I came across Fannie Mae Announcement #06-18 (Oct. 4th 2006) regarding the servicing of Conventional Mortgage Modifications. I believe this information, which I am sure you are familiar with, addresses the situation in which we currently find ourselves and may provide the solution to the problem.

In order to avoid foreclosure, I respectfully request that you consider the actions recommended by Fannie Mae: Mortgage lenders may make "modifications which extend the term of the mortgage, provide for reamortization...

Please refer to the Servicing Guide Part VII: Delinquent Mortgages; Chapter 5, Loss Mitigation Alternatives; Section 502.02: Modifying Conventional Mortgages published by Fannie Mae for more information (Servicing, p. 1). Recent legislation may also afford new solutions to our mutual problem.
I will be happy to provide you with my financial information, including tax returns and pay stubs, in order to facilitate any considerations you might suggest. I hope that you will consider negotiating a modification of our mortgage.

Thank you very much for your time and consideration. I look forward to hearing from you in the near future. Please find my name, address and phone numbers on the letterhead above.

Sincerely yours,

Works Cited

Mortgage Bankers Association. Fannie Mae Posts Conventional Mortgage Servicing Modifications (06-18). Related Documents, 2008 Mortgage Bankers Association. Website with.pdf file: http://www.mortgagebankers.org/NewsandMediaIndustryNews/45725.htm

Option one Mortgage

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Works Cited

Mortgage Bankers Association. Fannie Mae Posts Conventional Mortgage Servicing Modifications (06-18). Related Documents, 2008 Mortgage Bankers Association. Website with.pdf file: http://www.mortgagebankers.org/NewsandMediaIndustryNews/45725.htm

Option one Mortgage
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