Bank of America and 2nd mortgage heloc

[pomona]

[forgotten]

If the house isn't underwater the second isn't going to settle for less than the full amount, they would rather foreclose and sell the property to recover the money.

[BigHairyPig]

Read your post, thanks for the information. It is similar to ours except our first mortgage is with B of A, and our second mortgage is with Wells Fargo. The second mortgage would never be satisfied in whole if the house was sold, it's upside down. The first mortgage is more than the home is worth by about 20k. Don't really know if I should stop paying on the second since they would not have any equity to tap into if the home was sold. Nolo book says that if you took that stance and stopped paying a second mortgage that has no collateral to attach to, they'd probably write it off. But the downside is that they could attach a lien later if you were to sell. Anybody have thoughts on how to handle this?

[325Falcon]

What is the purpose of askinf for the pronisary note? Could this be used as a delay tatic and/or a defence against forecloser?

[mkuki]

[mkuki]

What is the purpose of askinf for the pronisary note? Could this be used as a delay tatic and/or a defence against forecloser?

dont even bother with BOA. they can howl all they want (like vultures) but as long as you satisfy the first, u r good

[forgotten]

tell BOA to eff off. They cannot do anything since they have ZERO power over the first. Keep the first current, and BOA will do nothing but

OP said the house is not underwater. What if he has equity in the home? If the house has a market value of $200k and you owe $100k on the first, you can bet darn well the 2nd is going to foreclose.

If the equity is closer to 0, in 5-10 years when you have made enough payments on the first or property values have gone up enough to give you decent equity you can bet they will foreclose then also.

[car67]

Quote: If the equity is closer to 0, in 5-10 years when you have made enough payments on the first or property values have gone up enough to give you decent equity you can bet they will foreclose then also.

Isnt there a a time limit when second can foreclose can they really wait 5 years for better financial times?

[forgotten]

Quote: If the equity is closer to 0, in 5-10 years when you have made enough payments on the first or property values have gone up enough to give you decent equity you can bet they will foreclose then also.

Isnt there a a time limit when second can foreclose can they really wait 5 years for better financial times?

A mortage lien normally doesn't go away unless you pay the note or a settlement for release of the lien is made. Of course, some states may have a law for a certian time period, but its going to be a long time. For example, in Ohio it is 21 years after the stated maturity of the loan, or 21 years after the last payment, whichever is later. But it can then be renewed again every 21 years by refiling in the county recorder's office.

[Stilltheone]

Very interesting reading...

We have our first with a different lender and our second with BOA, formerly Countrywide. Both loans are interest only and it's suppsedly split "70/30". Our first has a balance of $182,000 and BOA loan has a balance of $78000, total $260K. We'd be lucky to sell our house for $200K right now.

So, if my house is underwater, which it obviously is, I can call up BOA and offer to settle with them? What are the chances that they'll actually take the settlement?

Wanted to add, we are currently behind with BOA, owing Nov. 25th, Dec 25th and Jan 25th. We received our tax return and planned on paying 2 of the months to get caught up essentially.

[mkuki]

I had a 1st with Citi and a 2nd (HELOC) with BOA.

I paid Citi diligently until last payment on Jan 2009. BOA was SOL as of Oct 2008. Once Is spoke with atty (retained), he made me realize that I'm not going to be any better by "throwing good money after bad". No matter which creditor I tried to appease, my credit was shot, so keep my money and "hold on" for the ride for 7 yrs.

BOA howled and screamed for their share, they sic'ed their legal dogs @ me from Nov till March, but simply refered them to my atty. Citi came hollering how I will be evicted by the sherriff and my neighbors will know how much of a deadbeat I was. I just laughed @ them and told them to hurry up, I already relocated 1200 miles away and they can talk to my atty. This stopped them dead on their tracks.

Think HARD if you really, REALLY must live in that house, or if you need to re-eval your priorities. I'm happier now as a tenant, and not stuck in the "homeownership quicksand" anymore.

[pcn]

Very interesting reading...

We have our first with a different lender and our second with BOA, formerly Countrywide. Both loans are interest only and it's suppsedly split "70/30". Our first has a balance of $182,000 and BOA loan has a balance of $78000, total $260K. We'd be lucky to sell our house for $200K right now.

So, if my house is underwater, which it obviously is, I can call up BOA and offer to settle with them? What are the chances that they'll actually take the settlement?

Wanted to add, we are currently behind with BOA, owing Nov. 25th, Dec 25th and Jan 25th. We received our tax return and planned on paying 2 of the months to get caught up essentially.

But you're not really underwater with BOA, since if it sold for 200k, they'd get 18K after the first is paid. From what I read that means they have incentive to foreclose.