Hello All!!!
I have been a long time lurker on here and I have learned so much from everyone on here. I definitely don't feel so alone anymore in my situation and want to thank everyone for all your helpful advice and support on this forum. So here is my dilemma:
Bought current home in 2005 with boyfriend. 20% down conventional 30 yr fixed rate loan. Life was good, had 2 good jobs, took out HELOC in 2006 for improvements to the home. Fast forward 2010 - same as everyone else - we both lost our jobs - got new ones at a 60% drop in income and we try to make it work. Not happening because we robbed Peter to pay Paul while we had no jobs and they are broke too. We miss the 1st mortgage payment in 09/10 to try and get a loan modification. Let the games begin.
In January 2011 Wells Fargo tell's me Congratulations - you've been approved for a HAMP modification. New payment - $20 less than original payment. Really - are you kidding me. (31% of income - doesn't matter what other bills are I find out). So I decline. 2 weeks later - he loses his 2nd job. So call the bank - tell them - they want updated paperwork to try HAMP - round 2. 2 weeks ago they call me 6 days after they declined me and sent me to their lawyer- reason being cannot use unemployment income for HAMP. I said well where did you get that from - neither of us are collecting. She looks - says I don't know where they got that from you both have jobs. Maybe since you have a common last name it could be that the underwriter mixed up paperwork from someone elses file with yours. We will straighten it out. Next day get a letter in the mail from their attorney - Notice of Intention to Foreclose. I Call bank - "oh no we fixed the error we made and your back in active HAMP review. (Like I trust what they say). Here's my questions:
1. I really have no faith in Wells Fargo doing a modification with the current unsecured debt we have unless we file Chapter 7 to erase it. (Each have to file separately because we are not married)But are we too far along (re - letter from their attorney) at this point to even get a modification or have a BK filing stop the foreclosure process. House is underwater by about 65k and we would not reaffirm. But comparable rent's are not much less than current mortgage - would do a stay n pay if possible with a modified payment.
2. MERS Mess - our loan originator is out of business, WF is servicer, Freddie is investor. No assignments or anything to anyone after origination - Who can legally foreclose on us? WF got testy when I questioned them on that.
3. Since we would both have to file BK separately, just to put off the foreclosure - I am thinking that we should file 7 for the 1st borrower - wait for that to be discharged and closed and then do the 2nd filing for the 2nd borrower?? Or just bang the 2 BK's out in one shot because its not going to matter anyway.
4. Should I respond to attorney's letter and ask for proof that WF has legal standing to foreclose.
Sorry if I rambled on. Any advice would be greatly appreciated, as this limbo world I'm living in is driving me nuts. Thanks!!
I have been a long time lurker on here and I have learned so much from everyone on here. I definitely don't feel so alone anymore in my situation and want to thank everyone for all your helpful advice and support on this forum. So here is my dilemma:
Bought current home in 2005 with boyfriend. 20% down conventional 30 yr fixed rate loan. Life was good, had 2 good jobs, took out HELOC in 2006 for improvements to the home. Fast forward 2010 - same as everyone else - we both lost our jobs - got new ones at a 60% drop in income and we try to make it work. Not happening because we robbed Peter to pay Paul while we had no jobs and they are broke too. We miss the 1st mortgage payment in 09/10 to try and get a loan modification. Let the games begin.
In January 2011 Wells Fargo tell's me Congratulations - you've been approved for a HAMP modification. New payment - $20 less than original payment. Really - are you kidding me. (31% of income - doesn't matter what other bills are I find out). So I decline. 2 weeks later - he loses his 2nd job. So call the bank - tell them - they want updated paperwork to try HAMP - round 2. 2 weeks ago they call me 6 days after they declined me and sent me to their lawyer- reason being cannot use unemployment income for HAMP. I said well where did you get that from - neither of us are collecting. She looks - says I don't know where they got that from you both have jobs. Maybe since you have a common last name it could be that the underwriter mixed up paperwork from someone elses file with yours. We will straighten it out. Next day get a letter in the mail from their attorney - Notice of Intention to Foreclose. I Call bank - "oh no we fixed the error we made and your back in active HAMP review. (Like I trust what they say). Here's my questions:
1. I really have no faith in Wells Fargo doing a modification with the current unsecured debt we have unless we file Chapter 7 to erase it. (Each have to file separately because we are not married)But are we too far along (re - letter from their attorney) at this point to even get a modification or have a BK filing stop the foreclosure process. House is underwater by about 65k and we would not reaffirm. But comparable rent's are not much less than current mortgage - would do a stay n pay if possible with a modified payment.
2. MERS Mess - our loan originator is out of business, WF is servicer, Freddie is investor. No assignments or anything to anyone after origination - Who can legally foreclose on us? WF got testy when I questioned them on that.
3. Since we would both have to file BK separately, just to put off the foreclosure - I am thinking that we should file 7 for the 1st borrower - wait for that to be discharged and closed and then do the 2nd filing for the 2nd borrower?? Or just bang the 2 BK's out in one shot because its not going to matter anyway.
4. Should I respond to attorney's letter and ask for proof that WF has legal standing to foreclose.
Sorry if I rambled on. Any advice would be greatly appreciated, as this limbo world I'm living in is driving me nuts. Thanks!!