| President Obama's "Home Affordable Modification" | | | | of your mortgage should be less than $729750, your |
| package or HAM, as generally called has proven a | | | | total mortgage dues should be more than 31% of your |
| boon to those home owners who are finding it difficult | | | | entire monthly income. |
| to pay their monthly mortgage installments due to | | | | You must be able to prove to your lender that you |
| financial hardships. To qualify, there are certain loan | | | | have big financial problems that make it difficult to pay |
| modification qualifications you must follow. Before | | | | your current mortgage payment. These financial |
| discussing them, let talks about some basics. | | | | problems can be job loss, job transfer, family crises, |
| The first question is what is loan modification? It's | | | | death of family member, medical expenses and |
| when is a borrower, who is facing some financial | | | | divorce. |
| difficulty, works out with his/her lender to ease the | | | | The lender's main interest is to earn money and not to |
| terms of their mortgage loan. A loan mod may | | | | throw you out of your home. So, if you can prove to |
| sometimes be the only solution help those who simply | | | | them that you can maintain and pay on time new |
| cannot keep up with their payments. There are certain | | | | lower monthly mortgage payments, it will help in |
| qualifications which you must meet. These are: your | | | | convincing your lender to grant you an approval. Your |
| home should be a primary residence, mortgage loan | | | | application for loan modification qualification should be |
| should be written before January 1, 2009, the amount | | | | accurate, truthful and complete. |