21st Mortgage Loan Modification RMA Form Application Package

21st Mortgage Loan Modification Request For Mortgage Assistance (RMA)

If you want to apply for a loan modification with 21st Mortgage the first requirement will be to complete and submit 21st Mortgage Request for Mortgage Assistance (RMA). It’s important that you use the latest paperwork. It is always better if you check with a professional before submitting the paperwork . There are many professionals you can work with to get help but it is very crucial to find the right ones so that the process goes on smoothly. That’s why we put the latest paperwork we could find online; to help you. That is what we do as we are a company working to help our customers with Mortgage relief.  Click here to request a call from a loan mod pro or call 888-934-3444. 

21st Mortgage Hardship Letter

Built into their application 21st Mortgage have a hardship affidavit citing your hardship,

What is a loan modification?

First of all Loan Modification is not a refinance. Getting a new loan to pay off your old loans or combining loans is called a refinance. You cannot combine loans, such as a first and a second mortgage, when you are completing a loan modification. A loan modification is basically exactly as it sounds. We will work with you and the lender to get the terms of the loan changed.

What terms can I change on my mortgage with a loan modification?

Banking industry does not have the ability to think outside the box. So the things that you can modify and how you can modify them are highly limited.

Interest Rate Modification

The thing that the people want changed the most is the interest rate. Although this is also important but this is not the only thing can be don to change the payment. The mortgage servicer will push to reach affordability to it will be based on your income.

Loan Term Adjustment Mod

The other thing they may change is the life of the loan but some people complain that they add payments at the back of the loan. They don’t extend the loan by the term of your missed payments. In most of the cases they extend the loan back again to 30 years or even more. We have seen as much as 50 years, but as 30 years is the norm, any extension beyond is generally no more than 40. This is completely controlled by the beneficiary of the note and the limitations they set.

Principal Capitalization and Principal Reduction Modification

When they take the amount you owe them that you have missed then that is called Principal Capitalization this includes any past due payment, interest, and fees later adding them to the outstanding balance of what is owed. In rare cases that are generally dictated by the amount of perceived equity in the home (or lack there of) the investor on the loan may be willing to take a reduction on the principal owed.

Getting Your Forms Submitted To 21st Mortgage To Get The Process Going. What is in the 21st Mortgage Loan Modification Package?

It is not only limited to 21st Mortgage because usually all the lenders have the same requirements. You will have to provide your financial information to you servicer such as a monthly budget, your tax returns for the last two years along with a 4506t to show the returns were actually filed, pay stubs or proof of income like a profit and loss, bank statements, reason for requiring to do a loan modification, and a hardship letter.

Getting The Right Value Goes A Long Way.

To complete a loan modification successfully the lender like 21st Mortgage will have to balance out all the options available to the homeowner. One of the option is to check whether the value is acceptable or not. There are many different ways to get a value including the ones in which the valuation is done online. In some cases a value is completed by a real estate agent, also known as a Broker’s Price Opinion (BPO), In this tyoe the broker compares the properties in the area. Tye may also want to do an interior valuation in which case they will need access to the home. In some cases a drive by or external value is completed. Doesn’t matter what the type of valuation is they will compare the properties currently listed but the one more important are the ones sold between the previous 3 to 6 months. They consider the homes perceived condition, the size of the living space, the size of the lot, how many stories it has and whether or not it has a pool. They will also consider market conditions and how fast homes are selling in the area. There are many factors they take into consideration.

Loan Modification Appraisal Values

In some of the cases the real investor for which 21st Mortgage is working for will require to complete a valuation before approving any terms of loan modification. For this part the lender will do a computer based valuation called an Automated Valuation Module (AVM). It happens very rarely that the lender will hire a broker for Broker’s Price Opinion (BPO) due to cost preventions. In even rarer cases the beneficicary will pay for a by a licensed appraiser. The homeowner may be required to pay upfront fees in some of the cases for these services.

Filing Value Disputes and Variances

It can often happen that the value comes in too wrong, It can either come in too high or too low. What can you do in that case? This can happen to anyone whether you are a professional of a rookie may not matter, you may have to deal with a value dispute. Depending on who the investor is or if it’s insured there may be different processes for filing disputes with 21st Mortgage or another managing entity.

21st Mortgage’s Net Present Value or NPV Process and Analysis.

After a valuation has been completed and it has returned then the lender will decide whether you qualify for the loan modification or not and to forward your file or not. Usually there is an auditing process before the submission to management and if approved there is often another auditing process the occurs before an approval letter is issued.

21st Mortgage NPV Counters

NPV stands for Net Present Value. NPV is basically an algorithm so the lender can get the value for his money. This isn’t a stable value either. It changes from day to day. The process of looking at two separate borrowers and checking where they can make more money is known as NPV. In most of the cases the borrower is behind on his/her payment so the lender will have to decide whether to take the amount owed and increase their balance is even worth it or not. Homeowners have to know that when the numbers don’t add up for the investor that is when they are most likely to get declined.

21st Mortgage NPV Counters

There is only one way to counter the NPV and that is to look at the points and find the ones that don’t make sense and attack those parts. You should look at each point and imagine what would be the likely output. The most typical are incorrect income figures but it could go beyond that to things like the property’s perceived value and even in some cases the consumers credit report.

Three Payment Plan

If you get approved for the loan modification with 21st Mortgage in most of the cases you will be put on 3 month trial payment plan. You will not know what the finalized terms will be that they are offering you but the final payment should be inline with what you will be paying for the mortgage at least at the onset of the new plan.

21st Mortgage Modification Complete

There is a finalization process when the loan modification is being completed with 21st Mortgage.The finalized Loan Modification documents will be sent out somewhere between second and third trial payment if you are on trial payments. They usually come with a prepaid package to return the documents to the lender. Once the documents are returned and the loan modification goes through the final audits with underwriting the master loan documents are amended to show the new terms of the loan.