Sep
Home Legend Flooring
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Making Home Affordable Loan Modification Program Examples
The following are examples of ways the Home Affordable Modification Plan can help make your mortgage affordable. These are examples and are not intended to indicate the exact results you can expect if you qualify for this plan.
Legend
GMI = Gross Monthly Income
PITIA = Principal, Interest, Taxes, Insurance and Association Fees
DTI = Debt to Income Ratio
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Example 1: Rate reduction to achieve 31% DTI
GMI $ 4000.00
31% GMI (Target Monthly Payment) $ 1240.00
Loan $200,000 @ 7.5% 30 years $ 1398.43/month
Taxes and Insurance $ 250.00/month
PITIA $ 1698.43/month
Modify rate to 4% to achieve a DTI of approximately 31%
Modified Rate to 4%: $ 954.83/month
Taxes and Insurance: $ 250.00/month
New Payment $ 1204.83/month
Savings $ 493.60/month
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Example 2: Rate reduction and extending term of loan to 35 years to achieve 31% DTI
GMI $ 3000.00
31% GMI (Target Monthly Payment) $ 930.00
Loan $200,000 @ 7.5% 30 years $ 1398.43/month
Taxes and Insurance $ 250.00/month
PITIA $ 1698.43/month
Modify rate to 2%. Modify term to 35 years to achieve a DTI of approx 31%
Modified Rate to 4%: $ 662.53/month
Taxes and Insurance: $ 250.00/month
New Payment $ 912.53/month
Savings $ 785.90/month
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Example 3: Rate reduction, term extension & principal forbearance to achieve 31% DTI
GMI $ 4500.00
31% GMI (Target Monthly Payment) $ 1395.00
Loan $450,000 @ 9.0% 30 years $ 3620.80/month
Taxes and Insurance $ 250.00/month
PITIA $ 3870.80/month
Modify rate to 2%. Modify term to 40 years
Modified Rate to 2% for 40 years: $ 1362.72/month
Taxes and Insurance: $ 250.00/month
New Payment $1612.72/month
Because lowering the rate to the maximum floor of 2% and extending the terms of the loan to 40 years still does not achieve the desired DTI of 31%, the lender, at its discretion can elect to forgive or forebear a portion of the principal to achieve the 31% DTI. In this example the lender elects to forbear $75,000 of the principal which would be due as a balloon payment at the end of the term of the loan or if the home were to be sold. This is not expected to be a common practice and would most likely be used in an instance where the borrowers suffered a loss of income and the home suffered a sharp decrease in value.
Modified Rate to 2% for 40 years calculated on $370,000 $ 1135.60/month
Taxes and Insurance: $ 250.00/month
New Payment $ 1385.60/month
Savings $ 2485.10/month
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Home Legend 1/2″ x 4 3/4″ x 47 1/2″ Walnut – Java – Hardwood Flooring DH323P $4.69 |
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Home Legend 3/8″ x 5 3/4″ x 47 1/4″ Mahogany Natural Hardwoood Flooring DH343H $4.29 |
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Home Legend 1/2″ x 3 1/2″ x 35 1/2″ HS Maple Saddle Hardwood Flooring DH316P $4.69 |
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Home Legend 1/2″ x 3 1/2″ x 35 1/2″ Teak – Cherry Hardwood Flooring DH317P $4.69 |
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LOT OF THREE BOXES OF HOME LEGEND FLOORING PANELS $0.99 |
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3-3/4 Solid Bamboo in Honey DB103 Features: -Species: Bamboo.-Installation Type: Nail, Glue.-Edge: Micro-Beveled.-Light sensitivity: Moderate.-Surface Type: Smooth.-Pieces per Carton: 24.-Carton Per Pallet: 32.-Carpet Reducer: DB103CR.-Hard Surface Reducer: DB103HSR.-Stair Nose: DB103SN.-Quarter Round: DB103QR.-T-Molding: DB103TM. Construction: -Construction: Solid. Color/Finish: -Color: Honey.-Finish: 7 – Layer Aluminum Ox… |
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Hand Scraped HDF Click-Lock Hardwood Flooring in Maple Saddle HL73 Maple Click-Lock planks are unique and make your floor a ”One-of-a-Kind.” The hardwood is protected by a 7 layer Aluminum Oxide finish; providing protection from everyday wear. Engineered flooring with an HDF core can be installed on all levels of the house: including basements. Patented anti-distortion veneers and horizontal balancing enhance the stability and strength of the floor assure… |
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Hand Scraped Engineered Click-Lock Hardwood Flooring in Elm Walnut $91.99 DH308 Features: -Species: Elm.-Installation Type: Click-Lock.-Edge: Beveled.-Surface Type: Hand Scraped.-Quarter Round: HL60QR.-T-Molding: HL60TM.-Reducer: HL60HSR.-Threshold: HL60CR.-3.5” Nosing: HL60SN.-Residential: 25 Years. Construction: -Construction: Engineered. Color/Finish: -Color: Walnut. Specifications: -Square Feet per Carton: 20.71 sq ft.-Wall Base: HL60WB. Dimensions: -Width: 3.5.-L… |
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Home Legend HL9318 Click-Lock Hardwood Flooring Cork in Natural $100.00 Home Legend HL9318 Cork is a highly sustainable and environmentally friendly flooring material that is ideal for Nurseries, Kid’s room, Play rooms, Dens and Offices. This flooring can be installed on all levels including basements. It is a natural thermal insulation floor. Natural Cork flooring is warm to the touch, anti-microbial, fire resistant, moisture resistant and inherently resistant to mol… |
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Home Legend HL9319 Click-Lock Hardwood Flooring Cork in Mocha $100.00 Home Legend HL9319 Cork is a highly sustainable and environmentally friendly flooring material that is ideal for Nurseries, Kid’s room, Play rooms, Dens and Offices. This flooring can be installed on all levels including basements. It is a natural thermal insulation floor. Natural Cork flooring is warm to the touch, anti-microbial, fire resistant, moisture resistant and inherently resistant to mol… |
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Handmade Persian Court Legends Ivory/ Black Wool and Silk Rug (4′ x 6′) $120.69 Hand-tufted traditional Legends rug elegantly updates any home decor Floor rug features an ivory background Area rug is finished with a black border |
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Too Many Fairies (Hardcover) $13.89 Hating her endless chores, an old woman is unexpectedly aided by a noisy group of fairies who wash dishes, sweep the floors and finish the knitting before deciding to mess up the house so that they can begin again. |
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Nail Soup (Paperback) $7.87 When a traveller in the forest knocks at a lonely cottage, a scowling woman appears and says he can sleep on the floor, but declares that she hasn`t a morsel of food in the place, which prompts him to make his specialty–nail soup! Reprint. |



