Forbearance
What criteria will a lender look for to qualify a home owner for a possible forbearance agreement? Do they start with gross income less debts to see if there is room for a monthly payment needed? Stability of income, past payment record, cause of current problem, etc?
In other words….what is a good formula for me to apply to see if borrower has a chance at a forbearance agreement??
They look at total monthly income, a stable job, etc. Just like if they were applying for a new loan.
Sometimes they don't even qualify for a forebearance.
Frankca- Yes, all that criteria will be required. They will want a hardship letter to see what the problem was and why it is solved now, recent paycheck stubs, recent bank statements and they will provide a financial package (a few pages of application that ask financial info) that will need to be completed and returned to the lender. Like in the program, always ask for the arrearages to be placed on the back of the loan and begin making the next current payment and then negotiate from there.