Documents you will need for any Pre-Foreclosure Option

DOCUMENTATION CHECKLIST

• Account Information for your First Mortgage.  Your monthly mortgage statement will have most if not all of this information.
  
  
• Account Information about any Second Mortgage or Home Equity Line of Credit (HELOC) on the home.
  
  
• Current Account Balances and Minimum Monthly payments due on all your Credit Cards and Installment Accounts.
  
  
• Account Balances and Monthly Payments on all other debts such as Student Loans and Car Loans, etc.
  
  
• Your last 2 years Federal Income Tax Returns.
  
  
• Information about your Savings, IRA's, 401K and other assets and/or investments.
  
  
• Information showing the Monthly Gross (before tax) Income of "THE BORROWER" (may not need to include spouse if he/she is not on note), including 2 Most Recent Pay Stubs if you receive them or documentation of income you receive from other sources.
  
  
• You will also need to prepare a "Hardship Letter" describing any and all circumstances that caused your income to be reduced or expenses to be increased (job loss, divorce, illness, etc.) and or savings to be depleted.  Example of what the bank will be looking for: 

 What has changed in your life and financial circumstances that has caused the current hardship? 

Is the hardship "temporary?" (liklely to get better soon);
or
"permanent?" (no expectation that things will improve in the near future.)