Perm mod for loan amount over $729,750 possible?

[apost]

Hi - I am new to this forum. I saw in one thread that B of A is ABLE to do an in-house loan mod for a loan amount bigger than the above, at their discretion, but their loan mod dept informed me today that there are NO options available for us. Who's telling the truth? And any advice is welcome! Thanks.

[Evan Bedard]

Welcome and thanks for joining the forum.

You are correct, basically all banks offer their own in-house loan modifications which do not have a limit on the loan amount. I have seen many homeowners with balances in excess of $1M or more able to achieve assistance modifying their mortgage.

[apost]

Welcome and thanks for joining the forum.

You are correct, basically all banks offer their own in-house loan modifications which do not have a limit on the loan amount. I have seen many homeowners with balances in excess of $1M or more able to achieve assistance modifying their mortgage.

Are we out of luck in getting them to do an in-house mod if our income is good? Is that why they told us no options? Does anyone have any suggestions?

[Evan Bedard]

Are we out of luck in getting them to do an in-house mod if our income is good? Is that why they told us no options? Does anyone have any suggestions?

Well if you can easily afford the current payment a loan modification will be very difficult to achieve. You must be able to prove a financial hardship that is making the payments unaffordable to qualify for a loan modification.
However, if your mortgage is owned by Fannie Mae or Freddie Mac you may want to inquire about the HARP refinance program because you do not have to show a financial hardship and it is designed for underwater homeowners. You can use the link below to determine if either Fannie or Freddie owns your loan..

Home Affordable Refinance Program (HARP)

Does Fannie or Freddie Own Your Loan?

[apost]

We have a loan that offers the option to pay interest only for the first 10 years. We have 5 more years of this option, then the payment will become exorbitant. If we could get a lower interest rate now we would be able to make the same payment (or less) and pay down both principal and interest. But we're told we either need to have 20% equity (which we don't) or have a loan under 729K. We have never been late nor missed a payment. We could even bring on a co-signer. What can we do?

[apost]

And to answer your questions we are neither Fannie nor Freddie, unfortunately.

[Evan Bedard]

This is a position many people are in having an interest only loan that is due to adjust and skyrocket in payment within a couple of years. It is good that you are being due diligent and trying to get into a permanent solution before the loan adjusts, but unfortunately you must be able to show a hardship such as a lost job or income to qualify for a modification and there are no refinance options available for underwater mortgages besides the HARP program..