Want a Loan Modification? Bring Documents.
Effective June 1, 2010 homeowners applying for loan modifications including interest rate reductions and term extensions will have to supply documentation up front showing they qualify. The documentation will include two pay stubs, an electronic form that allows a servicer to pull up tax returns online, and a request for modification that includes a hardship affidavit. This program only applies to borrowers who live in their home and whose housing debt expenses are more than 31% of their income.