The new loan mod standards enacted by the Obama Administration pay lenders a lot of money to do a loan mod, and even money to do a short sale.

So they have a lot of incentive to work with you.

But they also have stricter rules to avoid getting paid by the gubmint to do a loan mod or short sale that should not be done.

So given these new rules, how much do hardship letters still matter?

Years ago, my wife and I were delighted to move into the nicest neatest little house in Sherman Oaks, California, "south of the Boulevard" which if you know the San Fernando Valley, you know that is the most desirable area, south of Ventura Boulevard.

It was a tiny house, 3 bedroom, but only 1400 square feet, but wonderfully designed floor plan. And it had a magnificent yard, and a real solid teakwood hot tub and redwood deck and a full blown sauna lined with cedar.

I could go into that sauna just to inhale the cedar smell, it was so wonderful.

But when we had babies, the house grew very small.

And we were upside down. We were really, really upside down.

That was the first short sale I did. And the hardship was that we needed to move.

Our financials supported a short sale because we owed a lot more than our house was worth, but at the same time, I didn't have high income at that moment either.

It is perfectly okay to have a hardship like "I have to move because…" and fill in a "because." It is not likely the lender will challenge you.

And this applies to short sales as well as loan mods.

There is still the need to put a  hardship together because if you do not, you may not get a loan mod or short sale granted.

And documentation is MORE important given the new rules.

A common question I get is:

What if there is no hardship but I just want to move, and I am under water?

The answer is, if you want to move, and you don't have any real hardship and you need a short sale in order to move, then that is your hardship!

Just saying, "I must move", or if you are doing the short sale for a client, helping them with a hardship letter that says "I must move", is enough.

If you must move, and you owe more than your mortgage, then automatically that is a hardship situation.

You should never lie to lenders, either for your own situation or on behalf of clients.

If you are moving to get a new job, say so. If you are moving in order to move to a different area, be closer to family, or try your luck in a new community where you may be more likely to be financially successful, say so.

So with that, here is something you will find VERY exciting.

I am offering three webinars coming up on short sales, loan mods, and short sale flipping. These are amazingly popular topics and will be turned into products that cost $97 each.

But if you get Loan Mod Magic now, or another course of mine, you can get invites to these webinars at nothing additional.

This is a limited special so please get your copy now. And get a 365 day trial for every product you get from me so for any reason you can send it back (even if it's all marked up or damaged)  and you get every dime back except shipping.

Click here for a 365 day trial of Loan Mod Magic including $397 of free bonus audios and three webinars coming up