Making Home Affordable Program

[Confused33]

First off I know what it is, how it works, and if I "qualify" or not so don't sigh and yell repost.

Some of you might have read my recent thread about my discharge and closure. I had some really good luck through my bankruptcy and was very blessed to have come out like I did.

Soo... I'm going to try my luck with this MHAP and see what happens. I will update this post as information is available.

I kept my home current before and during the BK7 and am still current as of now and I'm shooting for a modification which will lower my interest rate and payment. My lender is Countrywide and they have been very very pleasant through this whole thing. I find that on the contrary of what others have experienced.

So as of today I submitted all of the requested info including bank statements, pay stubs, breakdown of expenses (enlightening), and a hardship letter which was concise and to the point.

Now we wait.

[StartingOver08]

Thank you for this thread, it will be interesting to see how/if the BK affects your modification given you have been current on your home.

[spidge]

Most mortgage companies will not do anything ona an account that shows up as current. I am in my second attempt with CW on my 2nd and was not behind the first time. I do hope you are successfull as this would indicate a change in attitude at CW, MAYBE.

[2Bshinyandnew]

Most mortgage companies will not do anything ona an account that shows up as current. I am in my second attempt with CW on my 2nd and was not behind the first time. I do hope you are successfull as this would indicate a change in attitude at CW, MAYBE.

The new stimulus package that became available 3/4/09 is supposed to give mortgage servicers incentive to modify and refinance current borrowers as well as delinquent.

http://makinghomeaffordable.gov/

If a homeowner successfully modifies a mortgage they are current on it will be a result of the new federal Financial Stability Plan.

We'll see

[NoMoreRed]

Good luck. We started working with Countrywide in September 2008. They were always pleasant, however, they do not usually know what the other hand is doing. They failed to work with us then and were the main reason we chose to file BK C7 in December 2008. Our BK was discharged on 4/3/09 and Countrywide still has everything for a modification, but have moved nowhere. The home loan was discharged in the BK so now if they choose to not come back with a favorable loan mod then they will get to eat the entire loan. Their loss.....we do not mind moving at all.

[spidge]

The new stimulus package that became available 3/4/09 is supposed to give mortgage servicers incentive to modify and refinance current borrowers as well as delinquent.

http://makinghomeaffordable.gov/

If a homeowner successfully modifies a mortgage they are current on it will be a result of the new federal Financial Stability Plan.

We'll see

You may be surprised how many do not qualify for all these government sanctioned plans. Also the program has been slow to get started and lenders have been reluctant to participate. The key to the overall plan was the threat of BK where you give your lender an opportunity to modify or a judge would decide. Thats been watered down in the Senate to an almost useless tool.

[2Bshinyandnew]

You may be surprised how many do not qualify for all these government sanctioned plans. Also the program has been slow to get started and lenders have been reluctant to participate. The key to the overall plan was the threat of BK where you give your lender an opportunity to modify or a judge would decide. Thats been watered down in the Senate to an almost useless tool.

hence my "we'll see" comment. Not surprised at all.

[StartingOver08]

You may be surprised how many do not qualify for all these government sanctioned plans. Also the program has been slow to get started and lenders have been reluctant to participate. The key to the overall plan was the threat of BK where you give your lender an opportunity to modify or a judge would decide. Thats been watered down in the Senate to an almost useless tool.

This is not a surprise at all. I am interested to see because the lenders have been giving lip service to the modification programs. Most lenders/servicers prefer to do a forbearance agreement and just call it a modification. Naturally, most of the forebearance agreements fail because the plan is temporary with a couple of smaller payments and then a much larger balloon payment that the borrower can't meet. I am hoping that this program actually is a modification program that works. It would be a first!

[ansky0007]

I am in the same boat with Chase, I submitted the modification paperwork a month ago and have yet to hear anything. I have no issue with the $400k that I owe but I am at a fixed 7% which in todays market is very bad. All I am asking for is a rate reduction to around 5% which would save me around $6000 a year. Right now I am running 1 month behind since I am running at around $500 to $600 negative a month. Worse comes to worse I drag this out and stop making payments. At least with my mortgage account being discharged they cant ding me for more late payments.

[OregonMom]

My sister has Countrywide and hasn't filed bankruptcy and she can't get anywhere with them. She has been dealing with them since July '08 and they keep stringing her along. She did get the interest on her second cut down to 4.85% which cut that payment in half, that wasn't with Countrywide but it helped save her around $200/month. I tried to get my lenders to work with me so I could keep my home but the first mortgage would do nothing but the second cut interest in half but it wasn't enough. I was told the MHAP was for people who haven't filed bankruptcy. Good luck, I wouldn't count on Countrywide doing anything.

[richabuck]

Practically same circumstances

My wife and I are going through almost exactly the same circumstances as confused33, except that we have not filed our chapter 7 yet due to lack of funds. Since we will not be able to make next months mortgage payment (due to increase of escrow), I have been trying to find out if it is better to take what money we have and file the chapter 7 or wait for the results of the home affordable modification. Since we have not made any payments to any charge cards since October, some of the CC companies are threatening to sue us. I just don't know if the BK will affect our eligeability to get the HAM. Does anyone have any recommendations on this?

[Confused33]

Its 4/30 and I called for an update. They are now telling me that they didn't receive my fax. I was told different by someone when I originally sent it.

I'm going to mail and fax it this time.

I would REALLY appreciate it if I could speak with someone who doesn't speak broken English about my finances. GRRRRRRRRRR!

[ItsJustMe]

Have you read on any LOAN forums? I'm not sure if it's SAFE (LOL) to mention the names on here (will I get in trouble for that ). Some sites are picky about mentioned other sites names.

Anyways. I think you will find a big fat block wall in your future. It sucks. I have found the same. We are one hundred and ten percent exactly who the mod program is SUPPOSED to be for. Facing hardship, over our heads, great credit, no late payments on anything EVER, have done all the right things ALWAYS and things have just taken a turn for the worse financially. Still enough income to pay the mortgage if a mod was achieved, not enough to pay the mortgage as is, or even w/a MHA refi (4% is what was offered to me, BTW).

The basics from what I've read online (real experienced, not some CW fluff story) is that you have to be at least 2 months behind to be considered. I also had high hopes when they asked for all my 'stuff', but it turns out they were just submitting me for their own (really crappy) mod program. You will find this is the case for (every, as far as I recollect) situation on CW message boards.

People on the other forum have had luck w/NACA, a HUD approved mortgage assistance agency.

[richabuck]

I have also found the government HOPE hotline as being no help. On the makinghomesaffordable.org website is a number for the HOPE hotline which is supposed to provide URGENT help for homeowners. I talked to a lady for over an hour and a half. She took down (supposedly) all of my information regarding my income, expenses, etc. She informed me that I was well in the red (SURPRISE) and suggested ways to increase my income (find additional jobs???) and also gave me the website (incorrectly) for help with my food bill (which was slightly high). None of her suggestions was going to help the fact that my PITI was going up $1600/month.
She then suggested that I was eligible for Home affordable refinance plan (which I had already inquired about and found that Countrywide was willing only to lower my interest rate to 4.5%, no help). I then informed her that I was eligible for the Homeowners affordable MODIFCATION. She was UNAWARE of this program and I had to point out for her to read the PDF file on the MHA website. She did and said thatshe was sending all of the info to Countrywide via email with a copy to me and that I would be receivibg a copy in about 48 hours. That was Sunday. It is now Friday and I have not received ANYTHING!!! So much for the HELP line!
I also scoured the internet for phone numbers for Countrywide and came up with several different numbers for the loss modification dept (as suggested I call by the helpline). ALL of the phone numbers connected me to Countrywide and they also had the SAME EXACT MESSAGE!!! The message was that they were aware of the homeowners that were in trouble and were sending out packages to these customers over the next several weeks. No phone, fax or email available to send info to them.
I'm sure that they are not aware of my situation because I have not missed a payment. They will become aware on May 15. There seems to be little that I can do until they contact me.
My wife and I also talked to a HUD consumer advocate last Friday (for over 2 hours) and he said that he will handle the situation directly with Countryside for us. We have not heard anything from him since.

[ItsJustMe]

We were also told we need to make more money. Duh LOL.