Obtain a Restructured Mortgage Loan and Block Foreclosure.  Fannie Mae has combined the features of the Fannie Mae Home Affordable Modification Program (HAMP), Standard Modification, and Streamlined Modification into the Fannie Mae Flex Modification program, offering servicers an easier, flexible way of helping more borrowers qualify for a loan modification in a changing housing environment. The Fannie Mae Flex Modification will replace HAMP and the Standard and Streamlined Modification programs with a single modification program that leverages the lessons learned from the housing crisis.


The Flex Modification leverages components of HAMP, the Fannie Mae Standard and Streamlined Modifications. Highlights include:


  • The Fannie Mae Flex Modification can be applied to all mortgage loan delinquencies, and to mortgage loans that are determined to be in imminent default in accordance with the Servicing Guide.

  • The program will offer additional payment relief allowing forbearance of principal to an 80% mark-to-market loan-to-value ratio (MTMLTV) for eligible borrowers (not to exceed 30% of the unpaid principal balance) in two ways: o For borrowers less than 90 days delinquent, the program requires a complete loss mitigation application and targets a 20% payment reduction and 40% housing expense-to-income ratio. o For borrowers 90 or more days delinquent, the program targets a 20% payment reduction and requires no borrower documentation.


  • Current Mortgage Statements

  • Copies of all delinquency Notices of Default

  • Most recent tax returns

  • Last 2 months pay stubs

  • Last 2 months bank statements (complete)

  • Current profit & loss statements (if self employed)

  • Latest property tax statement (if not escrowed)

  • Proof of Insurance (if not escrowed)

  • Copy of your Driver’s License


In addition to the concise documentation we provide in our standard package plan, we can further strengthen your case by including a professionally written and composed letter of hardship, and additional supporting documents including:

  • Letter of Hardship

  • Lender Specific Financial Statement

  • Request for Transcript of Tax Return 4506-T

  • Freddie Mac 1126 Financial Statement (if applicable)


  • Your faxed document includes a cover sheet with your name, address and phone number

  • The first page of your documents package contains a list of all of the documents included with your proposal

  • A Lender’s Checklist page for confirming that you’ve submitted all of the required documents

  • Your written proposal detailing your reason for claiming hardship, and how you can afford to keep your home under better terms

  • Lender Income/Expense and Asset/Liability worksheets

  • If self-employed, your current Profit & Loss Report, which we will copy to Quickbooks

  • Lender Financial Hardship checklist

  • IRS Form 4506-T


  • The NPV formula contains secret ingredients, so it’s hard for delinquent borrowers to influence the results when seeking a loan modification. But there are a couple of things you can do.

  • If you are determined to remain in the home, say so. Make it loud and clear that you don’t want to lose your home, and explain why. Maybe you live near your aging parents, who need your care-giving, or you would be intensely embarrassed by foreclosure. Enlist the aid of a nonprofit housing counseling agency to craft a hardship letter.

  • The federal government’s home value projections are updated at the beginning of each quarter. There’s a slim chance that the numbers could change in your favor from one quarter to the next, so if you are turned down for a mortgage modification, you might try applying again the following quarter (if it’s not too late).