I’m trying to do a loan modification on my home mortgage. How do I list unemployment benefits as income (not)?
In: Mortgage Loan
27
May
2010
Trying to figure how to report unemployment benefits in budget. The problem, it’s not regular income (is it?) and it is only received for a defined period of time (fixed-term, not ongoing like regular income) Any help would be appreciated.
Note: I’m not trying to get a loan, I’m working with my mortgage holder to modify it!
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2 Responses to I’m trying to do a loan modification on my home mortgage. How do I list unemployment benefits as income (not)?
Stephen B
May 27th, 2010 at 12:57 am
When I tried this about a year ago the application package had an instruction sheet that said UI benefit count as part of “Gross Earnings” as they are considered taxable income. The girl that gave me the package also said it doesn’t matter that UI benefits only last for a set period, like she said “there is really no guarantee that a job is going to last any longer.”
But you should check with the Mortgage Company you are working with.
Mike on Mortgages & Real Estate
May 27th, 2010 at 1:08 am
Depends on your lender and if you have any other income in the household from other sources.
Some lenders will give you a temporary break based on your unemployed status with a nominal payment for 12 to 24 months (e.g. Citibank said they were starting people at $500/month while unemployed), but every lender is different.
Get a free pre-qualification from a real loan modification company.
If you need one we are at:
http://www.cmbexchange.com
I am sure they will work something out with you because modifications are now starting to get done faster since the new plan in March.