I have posted in there before, and have also been interested to see if anyone actually ends up getting a permanent modification. Since everyone's situation, loan, etc. is different, I will share some detail about my situation.
Currently have Jumbo loan, 80% 6.375 Interest Only 10 years
Second Loan 15%, 6.75 Interest Only 7 Years
So, only had about 5% equity when bought home for $700k
Home now worth about $575k
I also bought the home at the peak market, thinking existing home would sell within a couple days which is the way the local market was for 7 years. Well, as with a lot of people, bought new home, closed, market went boom, and now I am stuck with a second home I can's sell. It sat on the market for about 3 months until I said "f" it, and rented it out. Only positive thing is the rental market is strong here. Just finished up with my initial tenant, and rerented it immediately with only a 2 day gap. Fine, I do have equity tied up in that home which I could use. I have $60k in credit card debt, which was going to be paid off with equity from the home I can;t sell. Monthly interest payments alone are $1200 on the CC's, which are killing me. In addition, my company compensation is about 70% salary, 30% variable. With the current market, there is really nothing coming in from the variable compensation, so I contacted Chase.
Details
1) I was not late on payments, but contacted them about the time my credit was maxed and I anticipated I would not be able to make full payments.
2) They analyzed my situation, ran credit, looked at all of the documents I sent (Paystubs, banking, hardship letter, etc.) I was told I qualified for the Obama plan, and payments would be 31% of income for a 3 month trial mod. I did have to send them a notarized letter indicating I would go to HUD financial counseling, and we did this.
3) Then the fun began, trial mod packet to start the program never showed up. Week after week, call after call, hour after hour, I tried to get this to move forward. Almost every time I got a different story. Many times I got the " you need to refax", etc.
4) Finally, my information made it to an analyst, approver, whoever, but they indicated that I should receive a packet ASAP.
5) Few days went by, but finally it showed up. It included detailed instructions about the 3 payments, amounts, how to send them using Western Union Quick Collect, etc. Payments were due 6-1, 7-1, 8-1.
6) I made each payment about a week early, and followed up with Chase before the due date to confirm receipt. I could also track them on
www.chase.com for those of you who have enabled online account access. Under payment history, all 3 payments were shown and categorized as "unapplied".
7) Now that I had completed everything they asked me to do, it was time for me to see how this would get converted to a permanent modification. I was aware of the Geithner Obama meetings with the service providers, and the fact they had to report their actions on or by 8-4-09.
8) I purposely waited until yesterday to call Chase to let the reports, news, etc. be released.
Current status - I called Chase yesterday (they answered within 10 seconds which shocked me), explained to a gentleman on the phone I had completed the payments as requested, and asked what I needed to do to get this moved to a permanent modification. He put me on hold, reviewed my information for a few minutes, and indicated the last step was for me to have my current income verified to insure my status has not changed, and I needed to fax in the last months of paystubs. After that was verified, I would receive the permanent modification. He indicated it could take about 30 days for everything to complete.
I guess for now it is still moving forward. If I actually do get a permanent mod, I will post in here immediately.
Here were the details I was pre-approved for
2% 40 year loan years 1-5
then creeps up 1% a year until it hits a maximum amount on the mod.
I hope that is still the case when I receive the paperwork.
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