Going for Heloc Settlement Offer

[dm415]

Okay I am 3 months late now on my non reaffirmed 2nd.Loan amount 30,000,First mortage bal is 125,000.House right behind me just sold for 96000.House next to me sold for about 128000,both nicer then mine.Amtrust bank is the servicer,they are sending me a loss mitagation packet to fill out,I feel I have a good shot at this just not sure what to put in the paperwork,how to word it ,my theory is simple,settle for 10% or take the house and lose your butts(amtrust that is).I would what them to send a real person out to value the house to make there decision,not a zillow appraisal.I would keep the house if I just had the 125,000 first,I am prepared to walk away if no settlement is made,should I tell them that?? Relief 13305 any thoughts.

[awayalways]

I am sure they will require that you state all of your assets and liabilities and every other personal detail in your lifetime in the loss mitigation packet. But given that you didnt reaffirm, I would tell them politely of your hardship and how you would like to settle but all that you can afford is XXX. And good luck with that. In my experience, lenders do not act rationally, they dont care what it costs them, they are just paid employees following policy. Go figure???

[SleepWellNow]

Have you already been discharged? As I see it, if your house is worth less than the $125,000 you owe on your first, and you've been discharged on your second (without reaffirming), then your second lienholder is in a pretty bad position if you walk away and allow your house to be foreclosed on. They will get nothing.

I am in this position also. Once I am discharged, I am going to contact the second lienholder and politely explain they are holding an unsecured loan without me being personally responsible for it. I will offer them somthing between 5% and 10% (haven't decided the amount yet) to be paid in full within 10 days IF they will release the lien. If they don't accept it, I will wait awhile and then approach them again.

To get a good idea of your house value, why don't you ask a real estate agent to run some comps for you. Most agents would be happy to do this for you.

[dm415]

I am not doing this for hardship reasons,yes its been discharged.2 houses right next to me have sold for less then the value of my 1st mortage,and they are nicer,the way I see it is my second leinholder is in the bad position.

[overspent]

Same here

I am planning to strip my HELOC. I asked them for a mod last month . They say no, they are not going get a dimne from me. Comparable sales say I am just under the water for the first. no equity for HELOC. Ready to to walk and rent for the next 3 years before I file.