2 yrs Post BK, still in home, want to buy another <Total Confusion>

[doodlebugger]

I don't know if I mentioned yet that we are in pre-foreclosure. It's a long story how we got to where we are today and very complicated too! Our problem is that we are still living in the house, stopped paying more than year ago, and they keep asking us to fill out HAMP paperwork. We filled it out asking for a DIL and they processed it for HAMP mod instead. We have gone round and round, and after asking them to produce the original note, and them using a statue which says that a copy is acceptable, they dropped the last motion to foreclose. We are just in limbo right now. We are not really backwards in our house either - we owe a reasonable amount, but there are a lot of problems that started appearing in the last couple of years including a major property line dispute (which resulted in finding out that our house was not even built in the right place - what we thought was our front yard belongs to the neighbor). We realized if we didn't leave now, we will be stuck for a lot longer. In our state, the statue of limitations is 15 years. Our biggest hurdle is going to be getting a DIL, but I have been reading up on some strategies and we are hoping that something will work. But, the way the underwriter talked, he said he might still be able to work around it. The problem falls with the lender. Until I have exhausted every avenue, I will keep forging ahead.

I really believe that the lenders are trying to stick it to others, but the underwriter also felt that the banks didn't want to have to pay money out of pocket (for insurance, taxes, etc.) if they took possession of the foreclosed homes. I'm just going to keep working at it. I believe this is a turning point if the USDA and FHA are willing to make changes to accommodate people like us.....but it might take a little longer for the lenders to get on board.

[tobee43]

doddle, i wish you the best.

there really is no reasoning to what the lenders are and are not doing. i hope you will get a new loan. and, i certainly don't blame you for wanting out of your present one with all those problems. our situation was we also had nothing but a problem when the town came in and changed the curb in the road and redirectly the waterflow into our house and i mean into it. we stuggled to literally keep above water every spring from that time on. legal fees to have the town fix it and on and on and on. black mold forming, leech fields backing up into the house. i house we too lived in over 30 years getting ruined. it was heart breaking...so this was a blessing for us by leaving all the troubles behind, although, not the intent.

[doodlebugger]

Not to hijack the thread from northforty, but I just wanted to update my situation. The lender came back and said the deed had to be out of dh's name. The lawyer told us to quit claim the deed to get it out of dh's name, so we did. Then the mortgage specialist told the lender that the deed was out of dh's name, and they came back that their underwriting said that they wanted the house out of dh's name for two years. She is trying to get answers from a couple of other lenders, but so far two have denied us based on their own guidelines, not USDA or FHA guidelines. The mortgage specialist said she is trying really hard because she felt that she could get us approved, but the problem is not USDA or FHA guidelines - the problem is finding a lender whose overlay guidelines will accept our situation. She said if we could find a lender to accept our application, we would have no problem getting the USDA loan. We found out our mortgage lady doesn't have very many lenders to choose from, so we are going to consider finding a lender on our own. Going to make my own post so I don't interrupt northforty's post again. Wishing you luck northforty!!!