 TITLE: How Can I Get a Mortgage Modification? CONTENT: How to Get a Mortgage Modification\n----------------------------------\nIf you've missed one or more mortgage payments or, better yet, know you're about to miss a payment but haven't yet gone delinquent, contact your lender (or the servicer that collects your payments) and explain the reasons for your difficulty making payments.\nBe prepared to discuss your financial difficulties in some detail. You'll have to document your hardship (for example, loss of income, disability or death of a spouse) as part of a formal application, so gather relevant paperwork before you call so you'll be prepared to answer questions.\nThe lender will likely require you to apply for the modification in writing, and to submit proof of income and expenses before and after the onset of your hardship. That could include tax returns, pay stubs, monthly bills and statements, plus information on your savings and any assets you may have (investment accounts, real estate and the like).\nIf your mortgage is backed by any number of federal agencies or programs, you may qualify for a government mortgage modification plan:\n*   Fannie Mae and Freddie Mac, the federally backed agencies that hold more than 95% of U.S. single-family mortgage loans, share a program called Flex Modification, which allows adjustment of mortgage terms in response to a wide range of financial hardships. Qualifying mortgages must be at least one year old, and applicants must be delinquent on their payments or facing foreclosure.\n*   First-time homeowners with mortgages backed by the Federal Housing Administration, known as FHA loans, may be eligible for a variety of relief programs. These include loan forbearance—suspension or reduction of payments for a fixed number of months, after which the excused payments must be repaid—and mortgage modification. Borrowers with FHA loans may also qualify for _partial claim_ loans from the Department of Housing and Urban Development, which can be used for forbearance repayment and do not come due until after the original FHA mortgage is paid off or the property is sold. As with other government-backed mortgage programs, homeowners should seek information on FHA programs from the lenders that issued their loans.\n*   Active and retired servicemembers and surviving spouses with mortgages backed by the U.S. Department of Veterans Affairs (VA) can apply for loan modification programs and a variety of other programs designed to help avoid foreclosure. The VA advises homeowners to consult their lenders about relevant options, and to consult a federal housing counselor for guidance.\n*   The Coronavirus Aid, Relief and Economic Security (CARES) Act, signed into law in late March 2020 in response to the COVID-19 pandemic, offers a wide range of additional relief options for borrowers with federally backed mortgages, including mortgage forbearance for up to 12 months, followed by mortgage modifications if needed. The scope of those potential modifications, and criteria for qualifying for them, are a work in progress in light of the law's recent enactment. Homeowners should contact their mortgage servicer (the company that collects their mortgage payments) for information on assistance under the CARES Act.\nWhile the CARES Act only covers federally backed mortgages, private lenders may be extending comparable relief programs to their borrowers. END