Short Sale Hardship Letter

[Date]
[Lender Name]
Loss Mitigation Department
[Lender Address Line 1]
[Lender Address Line 2]
[City, State, Zip]
RE: Short Sale Approval Request
    Borrower: [Borrower Name]
    Loan Number: [Loan Number]
    Property Address: [Property Address]
To Whom It May Concern / Dear Loss Mitigation Specialist:
OPENING — PURPOSE AND REQUEST:
My name is [Borrower Name] and I am writing to formally request your approval of a short sale for the above-referenced property. I am no longer able to sustain the mortgage payments on this property due to a significant financial hardship that is beyond my control. I am committed to resolving this obligation in the most responsible way available to me, and I believe a short sale is the best outcome for both parties — allowing you to recover the maximum amount possible while avoiding the costs and delays associated with foreclosure proceedings.
HARDSHIP NARRATIVE:
The hardship that has led to this situation began on or around [Hardship Start Date] and is described as follows:
[Hardship Description — write a thorough, professional placeholder paragraph that reads as follows:]
"[Select and adapt the applicable hardship type: 'On [Date], I was unexpectedly laid off from my position as [Job Title] at [Employer Name], where I had been employed for [X] years. Despite diligent efforts to find new employment, I have been unable to secure a position that replaces my prior income of $[Prior Income]/month. My current income is $[Current Income]/month, which is insufficient to cover my mortgage and living expenses.' OR 'In [Month/Year], I was diagnosed with [medical condition], which required extensive treatment and resulted in medical expenses totaling approximately $[Amount] and an inability to work for [X] months. Despite having health insurance, my out-of-pocket costs have depleted my savings and left me unable to maintain my mortgage payments.' OR 'In [Month/Year], my spouse/partner and I separated/divorced. Prior to the separation, our combined household income of $[Combined Income]/month allowed us to comfortably service this mortgage. Following the separation, I am solely responsible for the mortgage payment on a single income of $[Single Income]/month, which is not sustainable.' OR 'I am a military service member and received Permanent Change of Station (PCS) orders to [New Location] effective [Date]. The relocation has made it impossible for me to continue occupying this property, and the current market value is below the outstanding loan balance, making a traditional sale impossible without a short sale.' Describe timeline of events with specific dates, income changes, attempts to resolve the issue, and why the hardship is not temporary.]"
FINANCIAL SUMMARY — MONTHLY INCOME VS EXPENSES:

[Section 2 — continued...]

[Section 3 — fill in your details...]

[Additional clauses and provisions apply...]