When you applied for your home loan you provided information about you (income, credit and employment history) that allowed the investor/bank to make an informed decision to loan you money to make your dreams of home ownership come true. When you signed the documents/contract to repay the loan you entered a business agreement with an investor and you are the business owner. The investor/bank are looking for a return on their investment which is the interest on the loan. 

Now, that you are unable to keep your promise to repay the loan as agreed, you must renegotiate your contract. It is just that easy. The information you provided to the investor/bank has changed and you need to request for a modification to the contract. The investor/bank don't always approve request for modifications. Most modifications are approved if the borrower informs the investor of the reason they became delinquent and how they plan to repay the loan in the future.

A modification request is simply providing the investor/bank with a proposal in writing of your plans to repay the loan. If you do not have income, but have a plan for future income, disclose that plan to your lender. Include a business plan in your "Hardship Letter." The lender will review your package and make a decision based on the information you submit. 

     Homeowners currently facing foreclosure may be eligible for a Foreclosure Mediation Hearing. This hearing will give you an opportunity to meet with the lender face to face and work out a repayment options. Click here to learn more about Foreclosure Mediation Hearings.