Question by Penny76: Has anyone been able to get a Fannie Mae loan modification?
My mortgage is current and always has been. I believe I meet all the requirements for a loan mod. I have applied through my credit union twice and have been turned down twice. Obama made it sound like everyone that met making home affordable requirements could get one! Do I need to skip a payment? I’m barely making it from paycheck to paycheck!
Best answer:
Answer by Rebecca
Then you are over extending and need to sell and buy a home you CAN afford. The Credit Union surely gave you a reason for the denial for TWICE already. Don’t ruin your credit by skipping payments then finding out you still do NOT qualify.
Know better? Leave your own answer in the comments!
What was the reason they turned you down?
Main reason is you don’t qualify unless your monthly mortgage payment is more then 31% of your gross monthly income. But there are some other hidden parts, such as if the outcome of such a modification would be worse for the bank then foreclosure, they are not required to do it.
From what I’ve been seeing, the banks are simply playing hardball and are not willing to work with debtors. Also helps a lot when Obama bailed them out for their bad loans, and the banks are now making billions of dollars again, with no incentive to work with debtors.
How’s that “hope and change” thing working out for you?