Mortgage Hardship Letter: Samples & How to Write One

Losing your home to foreclosure is a frightening prospect. If you’re struggling to keep up with mortgage payments due to unforeseen circumstances, a hardship letter can be a crucial lifeline. This letter explains your financial difficulties to your mortgage lender and requests assistance, such as a loan modification, forbearance, or repayment plan. A well-written hardship letter can significantly increase your chances of getting the help you need to stay in your home. It demonstrates your commitment to resolving the situation and provides context for your financial struggles.

Crafting an effective hardship letter requires honesty, clarity, and a detailed explanation of your situation. Clearly outline the event that led to your hardship (job loss, medical emergency, etc.), provide supporting documentation, and propose a realistic plan for repayment. Remember to be polite and professional throughout the letter, emphasizing your willingness to work with the lender to find a solution.

17 Sample Hardship Letters to Mortgage Company

Below are 17 sample hardship letters to help you get started. Remember to customize these examples to accurately reflect your specific situation. Replace the bracketed information with your own details. These letters can serve as a template, but tailoring them to your unique circumstances is vital for maximizing their impact. These samples cover a range of common hardships and demonstrate different approaches to requesting assistance.

Please note: These are samples only and should be adapted to your individual circumstances. Consult with a financial advisor or housing counselor for personalized advice.

Sample 1: Job Loss

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship and request assistance with my mortgage payments. I was recently laid off from my job at [Previous Company Name] on [Date of Layoff]. I have been actively searching for new employment, but have yet to secure a new position. I am attaching documentation as proof of my job loss.

I am committed to keeping my home and am requesting a [Loan Modification/Forbearance/Repayment Plan]. I am confident that once I find employment, I will be able to resume making regular payments. Thank you for considering my request.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 2: Medical Emergency

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to a recent medical emergency. I was diagnosed with [Medical Condition] on [Date of Diagnosis] and have incurred significant medical expenses. These expenses have significantly impacted my ability to meet my mortgage obligations. I am attaching relevant medical documentation.

I am requesting a [Loan Modification/Forbearance/Repayment Plan] to help me through this difficult time. I am committed to keeping my home and will provide any additional information you may need. Thank you for your understanding.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 3: Reduced Income

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to a reduction in my income. My hours at [Employer Name] have been reduced from [Previous Hours] to [Current Hours], effective [Date of Reduction]. This has resulted in a significant decrease in my monthly income. I am attaching pay stubs as proof of this reduction.

I am requesting a [Loan Modification/Forbearance/Repayment Plan] to help me manage my mortgage payments during this period of reduced income. I am actively seeking additional income opportunities. Thank you for your consideration.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 4: Death of a Family Member

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship following the recent death of my [Relationship to Deceased], [Deceased’s Name], on [Date of Death]. This has resulted in unexpected funeral expenses and a loss of income that I relied upon. I am attaching a copy of the death certificate.

I am requesting a [Loan Modification/Forbearance/Repayment Plan] to help me through this difficult time. I am committed to keeping my home. Thank you for your understanding and support.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 5: Divorce/Separation

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to a recent divorce/separation from my spouse, [Spouse’s Name]. The divorce/separation has significantly impacted my financial situation, as I am now solely responsible for the mortgage payments and other household expenses. The divorce decree is still pending, but I can provide supporting documentation as it becomes available.

I am requesting a [Loan Modification/Forbearance/Repayment Plan] to assist me in maintaining my home. I am committed to fulfilling my mortgage obligations and appreciate your consideration.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 6: Natural Disaster

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship as a result of the recent [Type of Natural Disaster] that occurred on [Date of Disaster]. My home sustained significant damage due to [Describe the Damage]. I am currently working with my insurance company, but the repairs will take time and I am incurring additional living expenses. I am attaching photos of the damage.

I am requesting a [Forbearance] to allow me time to recover and repair my home. I am committed to keeping my home and will resume payments as soon as possible. Thank you for your understanding and assistance.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 7: Business Failure

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to the recent failure of my business, [Business Name]. Due to unforeseen economic circumstances, I was forced to close my business on [Date of Closure]. This has resulted in a significant loss of income and I am struggling to meet my mortgage obligations. I am attaching documentation related to the business closure.

I am requesting a [Loan Modification/Forbearance/Repayment Plan] to help me through this challenging period. I am actively seeking new employment opportunities. Thank you for considering my request.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 8: Increase in Expenses

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to a significant and unexpected increase in my monthly expenses. Specifically, [Explain the increase – e.g., childcare costs, elder care costs, property taxes] have increased significantly, placing a strain on my budget. I am attaching documentation to support these increased expenses.

I am requesting a [Loan Modification/Repayment Plan] to help me manage these increased costs and remain current on my mortgage payments. I am also exploring ways to reduce other expenses. Thank you for your understanding.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 9: Disability

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to a recently acquired disability. On [Date], I became disabled due to [Brief Explanation of Disability]. This has prevented me from working and generating my usual income. I have applied for disability benefits, but the approval process is ongoing. I am attaching a doctor’s note as documentation.

I am requesting a [Forbearance/Loan Modification] to allow me time to receive disability benefits and reassess my financial situation. I am committed to keeping my home and will communicate updates as they become available. Thank you for your consideration.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 10: Pandemic Related Hardship

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship directly related to the COVID-19 pandemic. Due to the pandemic, [Explain your specific situation: job loss, reduced hours, business closure, etc.]. I am attaching relevant documentation, such as unemployment paperwork or employer statements.

I am requesting a [Forbearance/Loan Modification/Repayment Plan] to help me navigate this challenging time. I am actively seeking new employment/ways to increase my income and remain committed to fulfilling my mortgage obligations. Thank you for your understanding and support during this unprecedented crisis.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 11: Unforeseen Home Repairs

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to unforeseen and extensive home repairs. Recently, I discovered [Describe the home repair issue – e.g., a major plumbing leak, a collapsed roof section, foundation issues]. These repairs were unexpected and have created a significant financial burden, as I was required to use savings and take out a loan to cover the costs. I am attaching estimates and invoices related to these repairs.

I am requesting a [Loan Modification/Repayment Plan] to help me recover from these unexpected expenses. I am committed to keeping my home in good condition and maintaining my mortgage payments. Thank you for your consideration.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 12: Supporting Elderly Parents

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship stemming from the increasing costs of supporting my elderly parents. Due to their declining health, my parents [Explain the care needs – e.g., require assisted living, need in-home care, have significant medical expenses]. As their primary caregiver and financial supporter, I have taken on significant additional expenses that have made it difficult to meet my mortgage obligations. I can provide supporting documentation upon request.

I am requesting a [Loan Modification/Repayment Plan] to help me manage these increased financial responsibilities. I am dedicated to providing the best possible care for my parents while also maintaining my home. Thank you for your understanding.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 13: Property Damage Not Covered by Insurance

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to property damage to my home that was *not* covered by my insurance policy. Recently, [Describe the event and the damage – e.g., a flood, vandalism, a tree falling on the house] caused significant damage. Unfortunately, this specific type of damage was excluded from my insurance coverage, leaving me with the full financial burden of the repairs. I am attaching copies of the denial of coverage from my insurance company and estimates for the necessary repairs.

I am requesting a [Loan Modification/Forbearance] to allow me time to make the necessary repairs and recover financially. I am committed to keeping my home in good repair and fulfilling my mortgage obligations. Thank you for your consideration.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 14: Identity Theft

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship resulting from a recent incident of identity theft. My identity was compromised on [Date], and fraudulent charges and accounts were opened in my name, significantly impacting my credit score and financial stability. I have filed a police report and am working to resolve these issues, but it has created considerable financial strain. I have attached a copy of the police report and documentation from the credit bureaus.

I am requesting a [Forbearance/Repayment Plan] to provide me with time to rectify the damage caused by identity theft and restore my financial health. I am committed to keeping my home and will provide updates on my progress. Thank you for your understanding.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 15: Change in Loan Terms (Adjustable Rate Mortgage)

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to a significant increase in my mortgage payment as a result of an adjustment to my Adjustable Rate Mortgage (ARM). The interest rate on my loan recently adjusted on [Date], causing my monthly payment to increase from [Previous Payment Amount] to [New Payment Amount]. This increase was unexpected and has placed a considerable strain on my budget. I am attaching documentation showing the change in my interest rate and payment amount.

I am requesting a [Loan Modification] to help me secure a more stable and affordable mortgage payment. I am committed to keeping my home and would appreciate your assistance in finding a long-term solution. Thank you for your consideration.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 16: Increase in Cost of Living

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to a significant increase in the overall cost of living. The rising costs of essentials, such as groceries, gas, and utilities, have made it increasingly difficult to meet my mortgage obligations. While my income has remained relatively stable, the increased expenses have significantly strained my budget. I can provide a detailed budget breakdown upon request.

I am requesting a [Loan Modification/Repayment Plan] to help me manage these increased costs and maintain my mortgage payments. I am actively looking for ways to reduce expenses and increase my income. Thank you for your understanding.

Sincerely,
[Your Signature]
[Your Typed Name]

Sample 17: Loss of Rental Income

[Your Name]
[Your Address]
[Your Phone Number]
[Your Email Address]

[Date]

[Mortgage Company Name]
[Mortgage Company Address]

Subject: Hardship Letter – Loan Number [Your Loan Number]

Dear [Mortgage Company Contact Person],

I am writing to explain my current financial hardship due to the loss of rental income from a property I own. My tenant recently vacated the property on [Date], and I have been unable to find a replacement tenant. This loss of income has made it difficult to meet my mortgage obligations on my primary residence. I am actively marketing the property and seeking new tenants. I can provide documentation related to the rental property upon request.

I am requesting a [Forbearance/Repayment Plan] to allow me time to find a new tenant and restore my rental income stream. I am committed to keeping my home and will resume regular payments as soon as possible. Thank you for your consideration.

Sincerely,
[Your Signature]
[Your Typed Name]