question on yearly income?

[c150000]

ok call this a dumb question, but i heard there are none.....

i see they ask for prev year income tax returns
ok so ive been hardly making it since the end of 2007
applied for regular mod in sept 2008
heard nothing, then applied for hamp in aug this year 2009

so do they use prev years income tax to see if there is a hardship?

i ask because if they compare prev years... i started my mortage
with a healthly say 70.000 year
then went to 45.000
then up to 55.000 the year it all caught up with me was getting harder and payment went up 500.00 a month, applied then hear nothing from them.... fax send fax

this year at years end should be 62.000, but even showing more cash this year...
i had a separation, lost hours and lost a rental this year i still am behind,
my mortgage is 56% of my income .........

iam just trying to fiqure why they compare if they do,,

will they not approve because of this?
has everyone else shown a decline throght the years or ups and downs?
like these?

[litehouse01]

I think they look at previous years taxes for a number of reasons including assets not disclosed, income not disclosed etc...to make sure one is not hiding anything......as far as comparisons One guy just posted he was denied because no change in income from 2007 when they took out the loan and his wife was working when they originally got the loan and now she wasn't....in my case if they look at hubbys income 2006 was higher than 2007 and 2008 income was less but higher tax amount becaus ewe pulled what we had left in 401k to survive and had to claim that and pay tax on it so it looked like higher income but if they just look at the W2 they will see it wasn't. Its hard to know what they look at and why....its a guessing game really it is..........if they deny you.... reapply don't give up or they win.....they can go back and look at income used to quailify for the loan originally I would suppose

[c150000]

thanks for your reply

i quess we dont know, i would like to ask those who were approved
but its such a long drawn out thing, not a simple question you know?

if they did look up the year i got the loan it was the hightest amout
i wrote, so down 25.000 since then,

i will fight !... but in the mean time iam worried too, bacause if they do not
approve me they could want all due up front,,
i was told no, they will work with you on other options, chase mod, payment plan, ect,, but i dont trust them!
i will make my 3rd hamp trial payment nov 1 st and thats when the fun begins i quess

if this goes on until end of december and iam sure it will i will owe
like $8.000 yikes this is way to scary,,i rather starve then lose my house
but this stress is killing me!

stressing every month to pay my mortgage was less stressfull than this
and belive me it was stressfull making that payment !!

[caldwellb02]

there are few of us here who have been approved. Some are on trial mods, so maybe they'll chime in.

This is incredibly stressful. It's been really helpful to educate myself, as you are trying to do for yourself. I don't know what state you are in, but learn their foreclosure laws. that was a big one for me because I was completely in the dark and didn't know if they could up and say I have 30 days to get out. They can't. Not in CA.

I agree wholeheartedly with litehouse in that there is no telling what they are doing. I've gotten denied because my hardship was not permanent (huh?), and now due to "insufficient income." But I keep plugging because my house is worth it.

If you get a permanent mod, from what I hear they often tack what you owe to the end of the loan - perhaps as a balloon payment. Of course they may ASK you for all of that arrears but they can't get what you don't have!

I wonder if we could sue the industry for damages for all the stress this is causing us!!!!!!

[Riley18]

It would be great if we could file a class action suit for the distress the banks have caused. It's weird because there have been lawsuits against companies that have caused far less damage than they have.

I think it is probably best to get it into my head to move on from this nightmare and start living again. The banks hold all the power, and I don't have the time to wait for something that will never happen.

[c150000]

caldwellbo2
i meant if i get denied they can ask for the $8000.00 up front
and not work with me on it thats what scares me

i was told no we will work with you, if you get denied.. there are payment plans
homesaver advances, repayment plans ect ect ect
and exc resolution guy i have been taking to even had the nerve to say
if your income did not change you will not be denied what an idiot!
i will i had him income doing and knowing nothing!!!
i dont trust them..

riley18
if you look at someone the wrong way now a days they can file for damages!!
so iam sure there is something they can do!!

and let me add i was only 1 month behind at the start
so when i made my first trial plan i asked could i pay some money
towards my late payments on top of the trial... i had almost my full payment scratched together before i was accepted in the plan so wanted to send in that diffrence, so i wouldnt be 3 months behind the following month
cause i dont trust them
they said sure of course you can !!! i even asked the exc resolution guy he yes yes
them just before doing it i read my trial agreement papers

it clearly says if you make a payment more than the trial plan amount you will be denied!!!!
so that could mean 2 diffrent things of what i think it means !!! who fricken knows
i wanted to keep myself away from the 3 months late thing in the end if iam denied
i might call fannie mae and ask if i can pay that extra 1500.00 ive had since i went on the trial

[litehouse01]

caldwellb02..did they deny your trial...I reading one of your other threads insufficent income is that correct? Thats what I am worried about because of the back end dti being over 55% Is that what they based your denial on?

[litehouse01]

cheryl150000... hopefully if we get denied(which I hope we all don't) they will offer us something else like something in house or another solutions and not just slam the door closed on us all.......have you heard of many instinces where folks being denied for perm mod were offered something else? So they could keep their home?

[c150000]

lite house01
yes i know about other options, i added to my favorites but do not know how to transfer it here..
look under fannie mae...are you fannie?
go to efanniemae.com look under new loan workout hierarchy

there you will find instruction on how chase should move forward if someone is denied or dont qualify.. per fannie mae

its listed as hardship not permanent options are

The following table identifies the Fannie Mae loss mitigation options that are available to assist borrowers experiencing financial hardship. The new loan workout hierarchy announced in Guide Announcement 09-05R requires that you first evaluate a borrower to determine if the Home Affordable Modification Program is appropriate, and if not, you should then determine whether the borrower is eligible for an alternative loss mitigation option based on whether the borrower is experiencing a temporary or long-term financial hardship. Each option should be considered in the order in which they appear.



Forbearance is a temporary reduction or suspension of payments which must be immediately followed by an arrangement – either a repayment plan or HomeSaver Advance – to cure the delinquency. Learn More.


A repayment plan is an arrangement in which a borrower agrees to repay past due amounts while still making regularly scheduled payments. Learn More.


A HomeSaver Advance is a monetary advance to cure a delinquent loan resulting in a separate unsecured loan for the arrearage amount. Learn More

PERMENANT HARDSHIP


HomeSaver Forbearance is a temporary six-month reduction of payments to an amount the borrower can afford, but no less than 50% of the borrower’s contractual monthly payment, including taxes and insurance and any other escrow items. Learn More.


Other forbearance is a temporary reduction or suspension of payments (subject to the limits of the governing MBS trust document under which the mortgage loan was pooled, if applicable) which will culminate in a more permanent foreclosure prevention alternative. Learn More.


Once a borrower is on HomeSaver Forbearance or other forbearance, the following more permanent loss mitigation options should be considered in the order they are listed below

Modification:

Any permanent modification to the terms of a mortgage loan that make it more affordable, including changes to the interest rate, loan balance or loan term. Learn More.

Pre-foreclosure Sale:

Occurs when a property is listed for sale and proceeds of the sale are accepted in exchange for a release of the lien, even if those proceeds are less than the amount owed. Learn More.

Deed-in-lieu: Occurs when a borrower voluntarily transfers title to and possession of the property to Fannie Mae to satisfy the mortgage loan debt and avoid foreclosure. Learn More.

[davephx]

Note Homesave is now replaced by new program with a 30% reduction in payments vs previous 50%

[c150000]

thanks davephx
i cant keep up on the changes!!

[litehouse01]

Its very easy to overwhelmed with it all and all the what if's......I know I have been in that boat today..I really became un-nerved....but all I can do is wait and see what happens if they send me to counciling for being over 55% or if they deny me entirely and give me another option...I have to just take a deep breath and try and get ahold of myself and wait and see.....but its very difficult...I totally understand cheryl150000 I am in the same boat and if they asked me for all the money upfront to reinstate I don't have it..hopefully and I pray there are other alternatives they would offer other than having to have all the money upfront........hang in there we are in this together