Financial Relief Help

by Steve Rhodes

Question by Annabelle: When does your home go into foreclosure?
If you haven’t paid for your mortgage in 3 years and have applied for various different types of loan modification programs, but the banks are just taking too long to answer… what happens? What actually determines if your house goes into foreclosure or not? Also, a huge down deposit was put on this home…(i dont know if that makes a difference)
Thank you for your answer, but does it not make a difference for the loan modification program we are trying to apply for? They have responded to us and said that they are trying to find the right program for us to modify our loan.

Best answer:

Answer by Janice 10
You home goes into foreclosure once you have not paid the mortgage and it does not make any difference how much of a deposit that was paid on the home. The mortgage needs to be paid or the bank will foreclose. The banks take longer to foreclose on a home due to so many homes that are being foreclosed the banks and mortgage companies are back logged and it can take a long time for the foreclosure to go through. Can you sell the home and pay off the mortgage thus keeping good credit and then later on buy another home. This would be much better then foreclosure, since the foreclosure goes against your credit record for 10 years.

What do you think? Answer below!

by Steve Rhodes

Question by SH: bought house for 240K, own 160K in loan, current house price is around 90K. What are our options?
We live in the house and want to stay there. It’s in good school district and we like it. But what can we do like refinance or loan modification? Since we have paid off lot of amount on mortgage we will only like to modify terms/loan if it’s substantially going to reduce our monthly payment. And in near future we are planning to buy investment property so don’t want loan modification to affect our credit score or be obstacle in getting second loan.

Thank you

Best answer:

Answer by HEATHER
You are not going to be able to get either a modification or a refinance if you are that upside down on your home.

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by Steve Rhodes

Question by Tim: modification of loans?
My mortgage is with Chase, and i have been current with them, I even paid extra per month so far, but I was laid off form an employer, I made ,000 per week, and now with the current employer i make about 0 per week, I had an ARM and now my interest rate is almost 12%. I was wondering if I qualify for a loan modification since my income has dropped so much, and my spouse does not work, she has been off for almost two years now.
How does the program really work? I heard is for 5 years and then it will go back to what i have current? and say during this period my income changed could I still put extra money towards the principle?
I also, heard that if you lender accepts the plan each year if I stay current I receive ,000 each year for 5 years!!!

Thank you and God Bless!

Best answer:

Answer by daeve930
You need to call Chase and ask them about it. Ask for the department that does modifications or the retention department.

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Question by ZZ2007: Has anyone transfered their home loan from one bank to another? If yes, how?
My bank went out of business and my home loan was transfered to Bank of America. Bank of America refuses to give our lawyers a modification and now we are behind in payments. I really need to transfer my home loan to another bank, we did not give this bank permission to look through nor take over our mortgage.

Best answer:

Answer by sar
there is no such think, u will need to refinance in order to do that

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Question by : landlord not paying mortgage?
I’ll give the facts
* served foreclosure notice from the sheriff on the house I’m renting.
* papers state landlord hasn’t paid mortgage since April ‘

* sent a copy of the papers to the landlord and on the advice of a real estate atty told me to put the money in a separate account, tell the landlord, which I did.
* landlord told me the money isn’t being applied to the mortgage because he’s trying to get a loan modification and the foreclosure is just a formality.
* I have a signed lease till June ’11 and three kids
* I offered to take over the mortgage but the bank won’t talk to me without the landlords permission.
* Asked the landlord to give the bank permission to talk to me so I could assume the mortgage, he said he wants to sell it for fair market value ( he’s 8 months late on payments).

Does anyone have a clue as to what could happen to my family or the house or this cockamaime story about a loan modification .

Best answer:

Answer by Landlord
You will be evicted for non-payment.

You should sue that attorney for malpractice. He gave crap advice, you can’t withhold rent.

What do you think? Answer below!

Question by Lance: how does Obama’s stimulus package help current home owners who have fallen behind on payments?
I have fallen 4 months behind on my mortgage and I am in the process of obtaining a loan modification but the bank is already moving forward with foreclosure procedures, how will President Obama’s stimulus plan help me keep my house and return from the foreclosure process?

Best answer:

Answer by Pengy
If you could not come up with a single payment in four months then any reduction of interest is a moot point as you cannot afford the home you are in. accept that and move on you are just trying to delay the inevitable

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Question by Jeff S: Can my mortgage broker foreclose on me?
In march I did a FHA refi. the mortgage broker messed up big time on my escrow and put me in a big bind. FHA kicked the loan back and is not insuranable so the broker wants me to sign a modification agreement. I refused to sign it till they correct their mistake. They then told me that they can forelcose. Is this possible?

Best answer:

Answer by golferwhoworks
not the broker– FHA

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Question by Annie: What are the really downsides to filing bankruptcy?
My friend lost a lot of money on the stock market. He has a mortgage on his home but it’s upside down in value right now. (Owes more than it’s worth). He can’t pay all his credit cards & was turned down for a loan modification on his house. He is technically bankrupt but is worried about the consequences. He’s 59.

Best answer:

Answer by – m®.x – CFC
when you declare bankrupcy you can’t get any credit for 7 years. at least in canada. your friend would be 66 before he would be allowed to own a home, car, bank loan, credit card. you can still make “bankruptcy payments” on some of those if you want to keep them. like your car and house

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Question by Jon M: If my second mortgage is charged off, can I then put it into my Chapter 7 bankruptcy?
I have had great financial difficulty this past year, and have fallen behind on many of my obligations, due to drastic income loss. I was behind on my 2nd mortgage, and was trying to work out a loan modification with them, when I called today to find out the status, they informed me that my loan is now closed and charged off. I think I understand what that means, that is a banking term and I am still liable for that debt. My question is; is this debt still a lien on my home, and if is not, can I file it in my chapter 7 bankruptcy? The bank told me that they would not forclose on the home. I have tried to research this, but not finding any luck with the questions I have. I spoke with my attorney, and she said that I would have to file a Chapter 13, or else the 2nd mortgage would forclose…Does any one have any information, or gone through a simular situation?
FYI, my home is not worth as much as I owe, so the 2nd wouldnt get their $$, even if they forclosed.
Thank you David. Now, do you know if the bankruptcy court will see me as behind on my second? The bank is now not concerned will collecting the late payments, but wants to set up a payment plan with no interest. Can I do that and not include this loan in the bankruptcy? I know I can reaffirm it, but with this now a charge off account, I am not sure how that works.

Best answer:

Answer by David W
First, I’m sorry to hear of your difficulties. You are right that the term “charged off” is limited how the bank treats your loan on its books (it no longer carries that amount as an asset). This in no way relieves you of the debt or removes the lien from the property. It is still a secured loan.

The fact that the lender has made the business decision not to pursue a foreclosure (because it has determined that the value of the house does not exceed the balance of the 1st mortgage plus selling costs) does not mean it will be discharged in a Chapter 7 bankruptcy. That is probably why your attorney suggests that a Chapter 13 will be needed to restructure your secured and unsecured debt.

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by Steve Rhodes

Question by Stone: I am filing for bankrupcy on Thursday(5/6/2010),CHPT.7,because of a lot of credit card bill& default mortgage?
I have 2 commercial investment property that need to be paid property tax by Friday.
If I can not pay property tax, will I lose my 2 property? or bankrupcy will stop selling the investment property.
I also have a judgment on one of the investment property
I have a a lot of credit payment, default on the investment property mortgage payment and I am on home loan modification,I want to keep the house!!!!!!!

Best answer:

Answer by Ryan M
Bankruptcy will NOT stop anything in only one day. That is not even a realistic expectation. The investment properties are as good as gone. Your home mortgage will not be touched, unless you have a TON of equity in the house. Highly doubtful since you are on a modification.

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