How do you write a hardship letter due to job loss to get the mortgage approval?

Answer 1

Start -- To Whom it may concern --I am writing this letter to explain what has happened over the last few months or the last year. (whatever the time frame it may be). It started with a death in the family/layoff/disability/divorce. There were problems paying the bills because .. loss of income, hospital/dr. bills,or bills were to be pd by the x-spouse per divorce--( which by the way -- no matter what the judge or your divorce papers say, the signers on the contract are legally responsible for the debt). We got further behind, tried to catch up,or finally had to file for bankruptcy etc because the "problem" took so long to resolve. You have now paid the bills, caught up and have been paying as agreed for some time or been out of bankruptcy with some open credit for two yrs now. End the letter, with something like- you have been very bothered by everything that has happened. You can tell by the credit report that I/we were always current before the incident. You really want the house and you feel that the "above problem" won't be a problem any more. We have tried to/or made amends and you hope that this will be taken in consideration. Do not make this a long letter--typed, use the spell check, no more than a page, if hand written--print it so it can be read and no more than 2 pages. Any longer and the underwriter will not read all of it or care and you do want them to read it and care enough to try and make the loan happen. Put together your thoughts 1st.-- write in 1. 2. 3. some you get in all in order and not forgetting something that you do remember and are adding to the end of the letter. quick example-- 1. went on disability 2. lost job 3. had to wait for disability to start-- 4. took longer than we thought-paperwork problems 5. Medical bills started coming 6. bills started piling up--hard to pay the bills with utilities twice what we were use to paying. a. (never say mortgage or rent unless they weren't paid and are showing up on credit) Then throughly explain why. 3. We separated and then got divorce--eveything got nasty. Other spouse was to pay part of the bills and didn't-- 4. Income never the same -- alot lower than what I was making 5. income is now better. 6. I finally got disability--or finally able to go back to work. 7. better paying job-- 8. We slowly got everything paid or up to date. 9. Took a while but we did it. 6. end letter with you hope to get loan (as I stated above) Can call me if you have any questions. Look in the bio for inf.