Foreclosure April 2011

[NancDan]

Washington State. My home is currently in foreclosure status. I have been in contact since December 2010 with a HUD approved credit counselor who has been very little comfort or been helpful with any information or expertise; I don't think she actually pays attention to emails I send her, as she asks questions about information I'd already written her about. A debt management plan she came up with didn't lower any payments, she lowered some, but adjusted others higher, so we didn't save any significant money to catch up on mortgage. I applied for H.A.M.P., which mortgage company denied because they said debt-to-income ratio was less than 31%. Processor will not contact me to explain how she got the income figure. In review now for an in house mod., Trustee Sale date on April 22, 2011. I'm afraid that the mortgage company will screw around and not cancel the Trustee Sale. I would like to keep my home to be close to my mother who has been having health issues for the last two years. I have not worked full time for that reason, because she and my Dad are elderly and needed the assistance; I am currently being supported by my fiance, I work a seasonal per event job when it's available and am selling personal assets that I can. Probably will need to sell the home to get out from under it, and have money to be able to help her and survive myself. Fiance is primary signatory, I am co-signer on Deed of Trust. I have read that filing chapter 13 will save house, but that the court has control over home sale. Fiance is not willing to "pour money down a rabbit hole" to an attorney or legal fees and just wants to let it all go. I need tips, tricks, and information on getting the mortgage company to let me keep the house at a reasonable cost. What can I do?

 

[by0b]

I won't provide legal advise but start by contacting NACA. I provided a ling. There is a website profile you are given with the history of what they may do for you. It may help. If you google around, there are website that proide the calculator to determine if a modify is in the best interest.
NACA

 

[nextwife]

Is your problem paying due to your mortgage to income ratios, or all sorts of other consumer debts to which you are directing your income? Do you have expensive car payments, or other places the bulk of your income is going? Not all mortgage holders are obligated to use the HAMP program. Is yours one?

 

[NancDan]

To nextwife

Is your problem paying due to your mortgage to income ratios, or all sorts of other consumer debts to which you are directing your income? Do you have expensive car payments, or other places the bulk of your income is going? Not all mortgage holders are obligated to use the HAMP program. Is yours one?

Our problem paying is that both the other half and I had/have been unemployed for a long period, him - 2 1/2 yrs and on unemployment for most of that time and due to his profession and the downslide economy, me - over 2 yrs due to mother's health issues and needing extra home help from stroke & hip surgeries, cancer. I am ineligible for unemployment. He has been called back to work and makes a good wage, we are playing catch up with old bills and increased expenses, fuel mainly and car payment, making sure that he can get to work and support himself where he's located. Right now paying monthly utilities, food, saving up for mortgage payment. I don't know if our mortgage holder is obligated to use HAMP, don't think so. Even so, any free or low income services I've tried to go through, plus mtg. co. with hamp, say that he makes too much money to qualify (yet we are struggling).

 

[HUD-1]

If your mortgage payment is less than 31% of income, then it will be considered affordable and you wont qualify for most programs.

 

[NancDan]

Any other ideas?

Does anyone have any ideas to avoid bankruptcy? Thank you.

 

[John_DFW]

A foreclosure and bankruptcy are two seperate things. Are you also filing bankruptcy? If so you should be able to ask your attorney.

Is your actual DTI over 31%? If so, you need to get the correct income for the loan mod. If not, you will most likely not get a mod.

Giving up the house either in a short sale, deed in lieu, or foreclosure are all options to consider.

 

[NancDan]

Foreclosure/Bankruptcy

A foreclosure and bankruptcy are two separate things. Are you also filing bankruptcy? If so you should be able to ask your attorney.

Is your actual DTI over 31%? If so, you need to get the correct income for the loan mod. If not, you will most likely not get a mod.

Giving up the house either in a short sale, deed in lieu, or foreclosure are all options to consider.

Yes, I know that foreclosure and bankruptcy are two separate things. I have not filed yet, I don't know if I can without jeopardizing my other half's separate property as well. I was trying to see if I could buy time to maybe sell this property or at least get everything off of it. Nobody I've talked to so far seems to have any answers.

 

[nextwife]

Has Mom been getting disability due to the stroke? Have her assets been used to provide caregiving, have all services that could be used to help provide care been exhausted? I ask because I have been through a parent with brain surgery, stroke-like rehab, and terminal illness over several years, and similar for a second parent. We kids helped arrange care, and were regularly there for them, but maintained our jobs and financial responsibilities to OUR families and creditors while making sure they were cared for.

Realize that you are voluntarilly unemployed. Yes, mom is ill and needs care, but many of us have been there and maybe there are other ways to address her care needs you have not fully explored? It is not your mortgage lender's responsibility to subsidize the cost of care for your mom. That sounds harsh, I know, but that is basically what you are asking of them.