Here is a list of financial documents that will need to be gathered for a bank or lenders to possibly approve any of the following: Short Sale, Loan Modification, Deed in Lieu of Foreclosure, or Special Forbearance Plan.

-Updated Financial Information for all parties on the loan. (Financial Statement)

-Authorization of Release of Information

-Sales Contract (short sale only)

-Listing Agreement (short sales only)

-Preliminary HUD 1 (short sales only)

-4506T

-Arms Length Transaction Affidavit (short sales only)
-Verification of Income. (W-2’s, 2 years Tax Return, Pay Stubs)
-Any Certified Funds. (2 months Bank Statements of all Accounts)
-Completed Repayment Agreement if necessary.
-Hardship Letter
-Any Documents the lender requires signed and Notarized.

There may be other documents required by the bank or lender to be filed with them to approve any of the situations mentioned above. In order to make the process go smoother collect all of these documents and send them to the mortgage lender/investor as soon as they are requested. If there are any other liens placed on the home those need to be at hand also. If you are unable to make your mortgage payments and need further information, go to my article How To Avoid a Short Sale Or Foreclosure.