FHA 24 Month Modification Rule – What Are My Options?

Housing and Urban Developments has strict guidelines when It comes to their work out options whether it be a short sale or a loan modification. One guideline that is imposed by HUD that we have seen coming up often for homeowners is that FHA only allows one modification to be implemented on their account every 24 months. If a borrower obtains a modification on their loan and then defaults again they may be up a creek without a paddle unless if they are able to work out a reinstatement of the account or a potential forbearance plan. From what HUD has advised this is a federal guideline and that there is no exceptions to obtain a 2nd modification within 24 months.

If you have any questions or need to look into an alternative work out option, please fill out the form below.