Hardship Letter - Posted by Jim

Posted by janet teufel on June 29, 2006 at 18:21:22:

please send me a copy of this letter

Hardship Letter - Posted by Jim

Posted by Jim on May 12, 2006 at 11:56:39:

Hello All,

For those of you who have had to submit a hardship letter, do you guys usually right them and just have the homeowner copy them? Or do you just give guidance to the homeowner and let them run with it?


Re: Hardship Letter - Posted by Judson Voss

Posted by Judson Voss on May 13, 2006 at 10:03:30:

For me it depends on the homeowner. I explain why we are writing it. If they are more articulate the I am then I give them a sample letter and let them go to town. Others I write it and ask them to re-write it and add anything additional they think would be helpful.

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Re: Hardship Letter - Posted by Max-Va

Posted by Max-Va on May 12, 2006 at 13:11:59:

I explain why this is needed and how to make it as bad and convincing as possible, and then let them run with it. I do read over it before submitting it so I can make changes if necessary. I have not had to have them rewrite one yet.

Re: Hardship Letter - Posted by Tom NH

Posted by Tom NH on May 12, 2006 at 19:25:47:

This is exactly what I just emailed a homeowner in regards to writing the hardship letter. She did a fantastic job by the way.

Your hardship letter to the bank should include the following:

  • Explanation of the problems that you experience leading up to pre-foreclosure (it helps to get into detail here, as I explained to you over the phone)

  • Ask the lender to work with your buyer, as you haven’t had any other offers and the house has been on the market since last September (might want to also explain about the house across the street being on the market for more than 486 days!!)

  • Mention that the house is in need of extensive repairs

  • Mention that your lawyer has advised you to file bankruptcy. The banks will be much more willing to work with us if they know this.

I just faxed the authorization to release to the bank and will be calling them on Monday to order a Short Sale package. I’m excited as this is my first attempt (and first possible deal). I’ve got a $200K house under contract for $85K, but we’ll see what happens.

Good luck,

Tom NH