| With unemployment on the rise, homeowners who | | | | on loan modifications one way or another and an |
| have lost their jobs are wondering whether their lender | | | | unclear future about your ability to pay your mortgage |
| with approve a loan modification while unemployed. | | | | will affect their decision to approve you or not. It is |
| The truth is, most lenders have difficulty accepting loan | | | | possible to apply for a loan modification 30 days prior |
| modification applications from unemployed | | | | to your scheduled foreclosure date, so do not be |
| homeowners. Even more so if that homeowner has | | | | afraid to postpone until your financial future looks a little |
| been unemployed for an extended period of time. | | | | better. |
| If you're unemployed and are in desperate need of a | | | | There are rare cases where a lender will approve |
| loan modification to save your home, you are not | | | | your request for loan modification while unemployed. |
| alone. Unemployment in the United States is at an | | | | For this you must strictly meet the qualification criteria |
| all-time high and everyone is feeling the effects. | | | | your lender has set and have had an almost pristine |
| Foreclosure may be right at your doorstep, but there | | | | work history. For example, if you were laid off from a |
| are loan modification options out there for you. | | | | company you were with for at least a couple of |
| Because the unemployment rate has skyrocketed at | | | | years, you are much more likely to be approved than |
| such an alarming rate, the Home Affordable Program | | | | a homeowner who was only with the last company |
| has forced lenders to be more reasonable with | | | | they worked with for a couple of months. Your work |
| homeowners like yourself. | | | | history can be seen as a type of security in the eyes |
| The bottom line is that mortgage lenders will look at | | | | of the lender, much like your prospective future |
| your debt to income ratio to determine whether they | | | | employment. |
| will accept your request for a loan modification. If you | | | | No matter your circumstances, getting a loan |
| are receiving unemployment checks, your lender will be | | | | modification while unemployed will be difficult. Even if |
| much more willing to negotiate new loan terms with | | | | you get unemployment it may not be good enough for |
| you. But even if you do not receive unemployment, | | | | your lender. Having your loan modification application |
| loan modification while unemployed is not an | | | | approved under normal circumstances is difficult |
| impossibility. | | | | enough as it is, and trying without a job multiplies the |
| It may be in your best interest to hold off on applying | | | | difficulty trifold in many cases. However, it is definitely |
| for a modification until you have a job interview or | | | | not impossible. |
| opportunity on the horizon. Your lender loses money | | | | |