Southern Marin County.

Step-by-Step to Loan Modifications

Before you are in danger of losing your home to foreclosure and prior to making an appointment, please completely fill out the AFFORDABILITY WORKSHEET/BUDGET. For your first meeting with Marin Family Action and call for your appointment: 415.444.0915.

The home must be where you live. It must be a single family home, which includes a duplex, threeplex or fourplex. Investment properties are not included in home-save efforts. Please bring all your documents with you as we will not be able to give you best advice or work with your loan servicer until we have all paperwork in hand.

After reviewing the AFFORDABILITY WORKSHEET/BUDGET which you will bring to your first meeting with Marin Family Action, we will create an action plan that includes a timeline to:

  1. Eliminate unnecessary debt, minimize expenses, incrase income, increase savings
  2. Discuss terms of mortgage and how to stay current
  3. Establish follow-up schedule
  4. Track budget ove rthe course of counseling

Action Plan Timeline . . .

Note: Your lender may have slightly different requirements, but the following are thorough as of January 2012. If any documents are missing, we will not be able to submit the package for review by your lender. Prior to any modification on your home loan, all documents must be submitted to your Loan Servicer/Lender:

  1. HARDSHIP LETTER: Include a timeline of when your problems started. Please keep this to one or two pages; we will review this with you.
  2. Completed HAMP Hardship Form from the Federal Government;
  3. Signed Dodd-Frank Certification Form
  4. Completed 4506T or 4506T-EZ form (Request for Transcript of Tax Return)
  5. Completed Authorization to Obtain Credit Report
  6. INCOME VERIFICATION:
    1. Two most recent tax returns on file (W2's and 1099's. If self-employed, please provide business tax returns for prior two years.)
    2. Check stubs for the most recent available 60 days indicating year-to-date earnings and Verification of Employment letter on company letterhead, signed and dated, that includes year-to-date paid amount with a paid-through date.
    3. Other income: Child support, social security, government assistance
  7. RENTAL INCOME -- If part of your income is from roommates, you will need:
    1. A current signed rental/lease agreement from each roommate indicating amount paid monthly
    2. Two most recent bank statements and cancelled checks indicating deposits from rental income
  8. INCOME FOR SELF-EMPLOYED INDIVIDUALS:
    1. Provide six months of income verification and a P&L Statement.
  9. COPIES OF LAST TWO MONTHS MOST RECENT:
      1. Bank statements
      2. Utility bills in your name at property address; this serves as proof of occupancy: electric, trash, gas, water, cable, phone, internet, cell phone
      3. Credit card statements (include auto loan statements, student loan statements
      4. HOA: Bill and proof of payment, as well as documentation of coverage and premium.
  10. MONTHLY MORTGAGE STATEMENT: Most recent available showing status of loan;
    1. Proof of Flood Insurance: Current policy or declaration
    2. Proof of payment of Homeowner/Property insurance, including declaration page showing amount due
  11. PROPERTY TAX BILL: Most recent available; If you have a letter from your County Assessor indicating that your house has devalued and your taxes have been lowered, include that also.
  12. ALL LEGAL DOCUMENTS/CLOSING STATEMENTS: Ideally, you will have your entire closing package. This is extremely important, especially since you will probably want a forensic audit conducted. (Your title company may be able to provide a duplicate set on disc.)
  13. ANY CORRESPONDENCE FROM YOUR LENDER: DO NOT IGNORE YOUR LENDER. Track all contact with anyone you talk with regarding your home: Include date, time, phone number, name of person, location of office, badge number. Include foreclosure notices if you have them.
    1. A copy of the Notice of Default and Notice of Sale: We need the name of the trustee;
    2. A copy of the foreclosed "trustee's deed." Available at the County Recorder's Office.
    • OTHER INCOME: Benefit statement or letter from all providers of income from Social Security, including Social Security for the support of children, disability, survivor benefits, pension, or public assistance, which states the amount, frequency, and duration of the income and proof of receipt of payment, such as two most recent bank statements showing deposit amounts:
      1. Proof of income from 401k distributions, dividends, interest, and/or annuities (copies of two check stubs, two bank statements, or copies of two actual checks, reflecting the income)
      2. Legal documentation indicating amount, frequency, and duration of alimony and/or child support payments, if you wish to have this income considered as part of your modification request (this is not required), and proof of receipt of payment, such as two most recent bank statements showing deposit amounts.
    • OTHER CONSIDERATIONS:
      1. Copy of modification agreement for your first mortgage on the property
      2. Copy of recorded Death Certificate (in the event spouse is deceased)
      3. Copy of the executive Power of Attorney
      4. Copies of two most recent alimony or child support checks
      5. KNOW YOUR EXACT ADDRESS. Go to usps.gov, click on "find a zip code," type in your address. This is the address that Fannie Mae and Freddic Mac use. Please use this address.

Miscellaneous Forms, Information, Contacts

Additional Steps You Can Take to Avoid Foreclosure

Additional Reading