Here is a sample Hardship letter. Feel free to use as a tool for creating a similar type of document.....
(Date)
RE: Hardship Letter - Short Sale for (property address)
Loan #
Dear Countrywide:
We purchased our home at (Address) in (date) for the price of $(0). At the time, we were happily married and our jobs supported our home. Towards (date), we had gone through some major relationship challenges and the only option for us was to separate and we did that in (date). We are currently in the process of getting divorced. Unfortunately, with our separation, we could not afford this home anymore and had to vacate the home.
We tried to sell this home for the amounts needed to cover our closing costs and loans that we owed to you, which was $(price). This produced no showings and was obviously way over the market price. I am now working with a real estate agent, who has advised us that this market has declined since we purchased the home. Our Real Estate agent, (Jason Schweiger), has advised us that the fair market value for our home is near $(price). Since listing at $(price), we have have seen two offers. One at $(price) and another at $(price). We have accepted the higher offer, contingent to your approval of a short sale.
We really love this house, but we know that we cannot afford it. We are currently behind in our payments and have moved into separate, less expensive residences. We want to sell the home, avoid foreclosure and salvage our credit. We know that a foreclosure on our record will affect us for years to come. We would ask that you please assist us in avoiding this.
Please review and accept the current offer from our Real Estate agent. My attorney has advised us to file bankruptcy, but we prefer to avoid further destruction of our credit. We just want to move on and start over.
We deeply appreciate your help and understanding in this matter and we had no idea that we would get separated or that the Real Estate market would go down so much. If you have any questions, or need anything further from, please contact my agent or us personally.
Sincerely, (name)
(Sign)
Real Estate agent and Mortgage Broker devoted to providing the best service possible. Local areas include Kent, Auburn, Renton, Maple Valley, Issaquah, Redmond, Bellevue, King, and Pierce counties.
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Hey Jason--is it typically the case that the mortgage companies will only listen to owners like these poor folks after they have actually missed a payment or three? p.s. I am copycatting you and uploading my meez too!
Terry,
It is my experience that the borrower needs to be in default. If the borrower is current, the lender may feel that will continue to make the payments and not need to do a short sale.
This is great. We tell defaulting homeowners to write a hardship letter, and they need to know exactly what type of information should be included.
Thank for for this example, I think I will probably need to help a client write one of these letters today. Appreciate it!
Eddie,
It is usually easier to read if it is typed. You are welcome to copy and paste from mine and then edit for you names and address. Feel free to call or email for any other help. Good Luck!
I forwarded your hardship letter to my seller to help him make one. Thanks for the help!