Facing foreclosure is overwhelming, especially when you are self-employed and hit with unexpected income loss. At United Capital Mortgage Assistance (UCMA), we specialize in turning these “impossible” situations into success stories.
In a recent case, we helped a homeowner who was over $10,700 behind on his Fannie Mae type loan with LoanCare. He had already received a letter from LoanCare’s foreclosing attorneys—a terrifying moment for any homeowner.
This client had been self-employed part-time for years in the lawn care business. However, after losing a full-time job he had held for over 12 years, he fell behind on his mortgage payments. Although he actively sought work and eventually found a new full-time job, the pay was significantly lower. Even combined with his lawn care income, it wasn’t enough to cover his $1,364.44 monthly mortgage payment and living expenses.
He was scared, facing legal action, and didn’t know where to turn.
The Challenge: Undocumented Income
When we evaluated his situation during our free consultation, we discovered a critical “hidden” asset. To help make ends meet, he had recently rented out two rooms in his home for $600 each to acquaintances.
While this income was vital, there was a major problem: he had no leases, and the arrangement was informal. Without written leases and proof of deposits, lenders like LoanCare (and investors like Fannie Mae) typically will not count this rental money as valid income for a loan modification.
The UCMA Solution: Proper Documentation & Verification
We immediately went to work to legitimize his income and build a modification package that would qualify.
Lease Structure: We explained exactly how and where to obtain a residential lease agreement. We instructed him to have each tenant sign an individual lease.
Verifying Rental Income: We advised him to deposit all lease payments directly into his bank account—even cash payments—to create a clear paper trail for the lender.
Paystub Verification: Since he had started a new job, we collected his recent paystubs to verify his new base income alongside the self-employment and rental incomes.
Business Documentation: We sent him a specialized blank Profit & Loss (P&L) Statement for his lawn care business. Once he received it, we guided him through filling it out line-by-line to ensure it was precise and met LoanCare’s strict formatting requirements.
Stopping the Foreclosure (Regulation X)
Once the client returned his leases and the completed P&L, we finalized the loan modification package. We ensured it was in the exact format the lender prefers and immediately forwarded it to LoanCare.
Under Regulation X of RESPA, once a complete loss mitigation package is received, a lender must generally stop the foreclosure process to evaluate the application. We confirmed LoanCare received the package and formally requested they suspend further foreclosure action from their attorneys in compliance with this regulation. They complied, stopping the legal threat.
The Result: A Lower Payment & Peace of Mind
We handled all communication with LoanCare, providing our client with consistent updates so he never had to worry. After reviewing the comprehensive package we submitted, LoanCare confirmed the homeowner qualified for a modification.
He was approved for a 3-month Trial Plan with a new, lower payment of $1,247.39.
We called our client with the news, and he was thrilled! We walked him through the Trial Plan documents to ensure he understood exactly when and how to make his payments. Once he completes the three trial payments, we will help him finalize the permanent modification documents, get them notarized, and verify with LoanCare that he is officially current.
Why Use UCMA?
This case highlights why homeowners trust UCMA to save their homes:
We Find the Income You Miss: Most homeowners don’t know that rental income without a lease won’t count. We guide you on how to structure leases and bank deposits so your income is accepted.
Expert Documentation: From complex P&L statements for the self-employed to paystub verification for new employment, we ensure every document is precise and lender-ready.
We Know the Law: We utilize regulations like RESPA’s Regulation X to stop foreclosure attorneys in their tracks.
Beginning-to-End Support: We don’t just give you advice and leave. From the free consultation to the moment the lender accepts your final notarized modification, we handle the calls, the paperwork, and the stress for you.
If you have received a letter from an attorney or are falling behind on payments, you have options.
Disclaimer: United Capital Mortgage Assistance (UCMA) is a private company and is NOT associated with the government, any government agency or any mortgage lender/servicer. UCMA is NOT a law firm and does not provide legal advice. All claims of success are based on past results and are not a guarantee of future outcomes.
Stopped LoanCare Foreclosure: Self-Employed Success Story
Facing foreclosure is overwhelming, especially when you are self-employed and hit with unexpected income loss. At United Capital Mortgage Assistance (UCMA), we specialize in turning these “impossible” situations into success stories.
In a recent case, we helped a homeowner who was over $10,700 behind on his Fannie Mae type loan with LoanCare. He had already received a letter from LoanCare’s foreclosing attorneys—a terrifying moment for any homeowner.
This client had been self-employed part-time for years in the lawn care business. However, after losing a full-time job he had held for over 12 years, he fell behind on his mortgage payments. Although he actively sought work and eventually found a new full-time job, the pay was significantly lower. Even combined with his lawn care income, it wasn’t enough to cover his $1,364.44 monthly mortgage payment and living expenses.
He was scared, facing legal action, and didn’t know where to turn.
The Challenge: Undocumented Income
When we evaluated his situation during our free consultation, we discovered a critical “hidden” asset. To help make ends meet, he had recently rented out two rooms in his home for $600 each to acquaintances.
While this income was vital, there was a major problem: he had no leases, and the arrangement was informal. Without written leases and proof of deposits, lenders like LoanCare (and investors like Fannie Mae) typically will not count this rental money as valid income for a loan modification.
The UCMA Solution: Proper Documentation & Verification
We immediately went to work to legitimize his income and build a modification package that would qualify.
Lease Structure: We explained exactly how and where to obtain a residential lease agreement. We instructed him to have each tenant sign an individual lease.
Stopping the Foreclosure (Regulation X)
Once the client returned his leases and the completed P&L, we finalized the loan modification package. We ensured it was in the exact format the lender prefers and immediately forwarded it to LoanCare.
Under Regulation X of RESPA, once a complete loss mitigation package is received, a lender must generally stop the foreclosure process to evaluate the application. We confirmed LoanCare received the package and formally requested they suspend further foreclosure action from their attorneys in compliance with this regulation. They complied, stopping the legal threat.
The Result: A Lower Payment & Peace of Mind
We handled all communication with LoanCare, providing our client with consistent updates so he never had to worry. After reviewing the comprehensive package we submitted, LoanCare confirmed the homeowner qualified for a modification.
He was approved for a 3-month Trial Plan with a new, lower payment of $1,247.39.
We called our client with the news, and he was thrilled! We walked him through the Trial Plan documents to ensure he understood exactly when and how to make his payments. Once he completes the three trial payments, we will help him finalize the permanent modification documents, get them notarized, and verify with LoanCare that he is officially current.
Why Use UCMA?
This case highlights why homeowners trust UCMA to save their homes:
If you have received a letter from an attorney or are falling behind on payments, you have options.
Call us at 1-800-474-1407 for your Free No-Obligation Consultation or Click Contact UCMA and we will call you!
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