When you have fallen behind on your mortgage payments and are attempting to have your bank or lender work with you to reduce or delay your payments, you will be asked to provide some documentation to prove that you are experiencing difficulties. One of the most important parts of this documentation is the mortgage loan hardship letter. This is a personal letter written by you to your lender. It is meant to describe the circumstances behind your failure to pay your mortgage and to give the lender an idea of how long these circumstances will affect your ability to repay the loan.
A mortgage loan hardship letter should be formal, but should also include personal reasons for why you have been unable to make your payments on time. Some of these reasons may include the death of a co-borrower, loss of job or reduced income, divorce, incarceration, a relocation due to a job, medical bills, and others that affect your ability to pay. While this letter will include personal matters that may be complicated, it is important that you keep it short, concise, and clear. Below is an example of a letter of this type:
Sample Mortgage Loan Hardship Letter
Name of Homeowner
Address of Homeowner
City, State, Zip Code
Name of Lending Institution
Name of Loan Officer
Address of Lender
City, State, Zip Code
Dear Name of Loan Officer:
As I am currently behind six months of payments on my mortgage and I desire to keep my home, I am writing this letter to request a mortgage hardship loan so that I can stop any foreclosure action.
For the past five years, it has been easy to make my monthly mortgage payments, but I have been in financial difficulty ever since I lost my job seven months ago. I was not able to find employment until last week. Also, my mother suffered a heart attack, which put further strain on my income for her unexpected medical expenses.
I have a well-paying job now and have paid almost all of the medical bills, and I have every intention of paying my mortgage. However, I need a small loan to make it possible to repay the delinquent payments. I would appreciate your help in making it possible for me to keep my home.
Thank you for your time and attention to this matter. I would be happy to meet you and discuss further details. I am available at 555-123-4567 or at Name@email.com.
Signature of Homeowner
Name of Homeowner Printed
By Andre Bradley