Kentucky Mortgage Modifications

This is the Short Sale Process Checklist. I know it looks just like the Mortgage Modification checklist. That is because it requires the same documents plus 6 or so additional documents at the bottom of the list. Many Short Sales are denied for the failure to be complete, they take a long time to process, they are commonly lost by the mortgage servicer and requires a lot of work. If you file an answer to your foreclosure, or file bankruptcy and are interested in a short sale the application will be often handled through a special paralegal at the office of the attorney for the bank. These are the specific documents asked for by CitiMortgage and most other lenders as for the same items.  However every lender has different rules.

  1.  Dodd Frank Certification Form (This form requires you to swear that you have not been convicted of fraud, tax evasion or money laundering so you can ask for help from people that are guilty of it.  Really I am not kidding you.)
  2. Hardship Affidavit
  3. 2 Consecutive Current Bank Statements for all borrowers – All Pages – no Online
  4. 2012 Tax Returns – all pages – all schedules
  5. Current paystubs covering a 30 day pay cycle for all borrowers – no older than 45 days
  6. Updated Work Out Package Application
  7. Form 710 UNIFORM BORROWER ASSISTANCE FORM
  8. Signed and dated Hardship Letter detailing hardship
  9. 3rd Party Authorization Form from Client This form varies from lender to lender and you must get it from your lender.  It is used to  to identify any parties or companies that the lender is authorized to speak with.  Must be signed and dated
  10. IRS form 4506T for 2011& 2012-Form
  11. Current utility bill
  12. Current Property Tax Bill
  13. Current Hazard Insurance declaration page
  14. If rental property – provide current lease agreement along with 3 months of bank statements listing rental income
  15. IF there is a home owners association that is paid on property – provide current association statement with amount paid and frequency

Short Sales Louisville KYAlternative income

such as Self Employment, Social security, Pension, Child Support, Self Employed – requires current quarter year to date profit and loss statement showing: Business Name or Borrower Name, Total Income earned, Total Business expenses. Plus 1120s with 3 months bank statements, if available;

Social Security Income

– requires current 2014 letter from Social Security Administration listing amount of payment received

Retirements Income

– requires Current Payment statement covering 30 day pay cycle with year to date earning and monthly payment If Divorced – Require Final Divorce Decree with disclosure who was awarded property along with recorded Quick Claim

If the homeowner is seeking a short sale please provide the following in additional to the above core package:

  1. Current Listing Agreement
    1. Updated Purchase Contract
    2. Contract must be signed by both parties
  2. Needs to show is contingent on investor approval for short sale
  3. Updated HUD-1 with settlement date out to 45 days
    1. Needs to include buyer and seller information
    2. Needs to show proposed payoffs for all liens on property