Qualifications for Loan Mod for Homeowner in Default?

[Jeffrey M.]

Hello beautiful people of BP! So I work for a company that purchases preforeclosures and specializes in short sales. I want to build genuine rapport with the sellers I get into contact with and I understand that a loan mod is one option they have besides selling. 

Can someone please enlighten me on what the general qualifications are for a homeowner who is in default (that has been served an NOD) that would like to apply for a loan mod.

Thanks in advance! 

[Ron S.]

Originally posted by @Jeffrey M.:

Hello beautiful people of BP! So I work for a company that purchases preforeclosures and specializes in short sales. I want to build genuine rapport with the sellers I get into contact with and I understand that a loan mod is one option they have besides selling. 

Can someone please enlighten me on what the general qualifications are for a homeowner who is in default (that has been served an NOD) that would like to apply for a loan mod.

Thanks in advance! 

What does it mean that you purchase pre-foreclosures and specializes in short sales? Based only on that, it doesn't sound like you do anything more than try to buy people's property while they are in foreclosure, and possibly try to buy them with a short sale? As others have pointed out, unless you are the lender, you can't offer them a loan mod. If you are trying to be some sort of short sale negotiator, or some sort of loan modification negotiator, lenders will shut that down quickly and so will the state if you do not have the credentials to be offering those services. I suppose you could help them out of the goodness of your heart but, you couldn't do it for compensation unless you were registered/licensed in many states (California is one of those states) and doing it without that paperwork could subject you to civil and criminal penalties if you ended up taking title to that property, or received compensation in exchange for helping them or made some promise like, you are there to help them.

Maybe I'm misunderstanding your post but, if you don't understand what the general qualifications are for a loan mod, I'm confident you shouldn't be doing what you say you are doing, or trying to do. There are many state, federal, investor, lender specific qualifications for alternatives to foreclosure and a loan mod is but one of the alternatives.