I have lived in my home for 20 years. I just lost my job and my husband’s hours have been significantly reduced at work. We still owe $650,750 on the mortgage but had to stop making payments because the mortgage was too high. Would a loan modification be a good option for me to avoid foreclosure?
A: It depends on your debt to income ratio. Your monthly mortgage payment and other homeowner association/condo fees must be greater than 31% of your monthly gross income. You must also meet the other requirements listed at www.makinghomeaffordable.gov.