What are some examples of hardships that may be considered by the lender?
• Loss of job • Reduced income/salary • Death of spouse, borrower or co-borrower • Incarceration • Divorce/Separation • Military duty • Serious Illness • Medical bills Are you a good bankruptcy candidate? If you have both secured (real estate) and unsecured (credit cards) and you can not afford to keep up with all of your payments, you may qualify to file Chapter 7 or Chapter 13 (reorganization) protection under the Bankruptcy Code. If you want to keep your home in Chapter 13 (reorganization) cases if the appraised value of your home is below the combined loan values, other than the 1st mortgages, other mortgages, such as the 2nd or 3rd can often get wiped off. Are you a good short sale candidate? If your home appraises for less than your combined loan amount and you do not want to keep your home. Example: your house is worth $200,000 but you owe $400,000 and you don’t want to keep your home you can be a candidate for short sale. A short sale is when lenders agree to receive an amount
