How to Modify Your Mortgage Loan Modification for Free
Step1
First you have to make your budget clearly before you contact any mortgage company. They may ask you over the phone about your monthly expenses, your monthly income etc. You must have to an income if you want to quality. And you should have the capability of bearing all the expenses of yours and also the mortgage payments. They will ask you about everything like your expenses for the car fuel, groceries, utilities, credit card, cell phone, car insurance etc. So plan accordingly so that you can show that you have sufficient money to pay the monthly mortgage payments. If you do not have any income, then avoid this step and follow the step number 6.
Step 2
Your financial condition must have to be very bad it should be in a hardship. Such as illness, loss of job etc. Write down all these in a tear jerking letter. Mention exact date of your job loss or job change. Mention illness of yours or any of your family member to whom you take care and also mention if there is any death in your family or any other problems.
Step 3
Contact your mortgage company or the companies if you have two. You need to ask for the loan work out department. Every company has their own forms or they will give you the advice what they actually need. Tell them your dilemma and they will help you. Because all the mortgage companies are not the same as you thought about.
Step 4
Depending on the situation of yours you will request on the following things:
a) Payment postponement b) Interest rate modification c) To lower the principal balance according to the current market value. d) Combining your 1st and 2nd loan ( if two loans are going on with the same mortgage company ) and this will depend on the mortgage company who is handling your loan. This time they will show you what the steps are you need to follow.