Posted on: 25th Jan, 2010 01:39 pm
Is it true that when you are filling out your financial worksheet for a loan modification that if your monthly bills are more than your income that they will decline you?
Hi stvhealthcare,
Whether or not you would get a loan modification will depend upon your financial situation. If the lender finds that you won't be able to pay the mortgage dues even if your loan is modified, he won't consider your request. If your monthly bills are more than your income, there are chances that the lender would decline your request.
Whether or not you would get a loan modification will depend upon your financial situation. If the lender finds that you won't be able to pay the mortgage dues even if your loan is modified, he won't consider your request. If your monthly bills are more than your income, there are chances that the lender would decline your request.
with the modification procedure that has been established, lenders are trying to determine your debt ratio in order to calculate your qualifications. there's a maximum ratio of 31% - which is intended to cover the monthly mortgage payment as a percentage of your income. in simple numbers, if your income is $1000 monthly, then your monthly payment ought not to exceed $310. if you're in such dire condition as you describe, you'll not likely be approved for a modification.
