Got a Traditional Modification with Citi/Freddie!

[Sunbeam]

I am elated today! Been working on this since February of this year. Today we have confirmed that Freddie has accepted our proposal to change our ARM (5.65%, set to reset in 5 years) to 4.5% fixed for the remainder of the loan. We had 25 years left on our loan, they are extending the terms to 40 years to help us get out from under debt we incurred saving our house structurally. This saves us a total of over $600.00 per month. AND once we have the non-secured debt paid down (which we can now attack) we can pay down our mortgage faster than 40 years.

Our solution might not fit everyone, but it is just what we needed and fought hard to get. HAMP was not for us, we had other circumstances that put us into a bad financial situation and after jumping up and down, writing letters to CITI management, congressperson and Freddie directly and showing documentation that proved we didn't get in over our heads by being stupid, just unlucky (foundation failure) we were offered this arrangement.

We were never late on payments. We cut every little luxury out. I was fortunate enough to be able to pick up tutoring work as a teacher. This saved us because my husband has some furlough every month.

If you want the whole saga, see "Wit's End" under Citimortgage threads.

If not for this forum, I would have lost the drive along time ago. Everyone has a different story to tell, some are similar, but for the most part we want to save that thing so precious to us and our families: Our Home.

Keep fighting. Be polite, but firm. Document everything and don't take the first, second, third, etc answer you get.

Good luck to all!

[Evan Bedard]

I am elated today! Been working on this since February of this year. Today we have confirmed that Freddie has accepted our proposal to change our ARM (5.65%, set to reset in 5 years) to 4.5% fixed for the remainder of the loan. We had 25 years left on our loan, they are extending the terms to 40 years to help us get out from under debt we incurred saving our house structurally. This saves us a total of over $600.00 per month. AND once we have the non-secured debt paid down (which we can now attack) we can pay down our mortgage faster than 40 years.

Congratulations Sunbeam that is amazing! I just love tradiotional modifications! You were able to acheive an affordable mod without even missing a payment and ruining yourt credit

[Sunbeam]

Thanks Evan! This was a long long process fraught with many mis-steps by Citi. In the end, the person assigned to my case in loss mitigation, my negotiator, is, in my opinion a Saint. She worked with me and worked with me and if she ever had to ask for anything additional I always knew it was the investor asking for it. She is a gem!

I highly recommend to anyone who gets turned down for HAMP to pursue a traditional modification....but they have to be aggressive in order to get it.

[aubie37]

Sunbeam,

Congratulations on your modification as well. Here is to a better 2010!

[Sunbeam]

I wanted to try to float this post back up to the top...some folks were asking if anyone had ever gotten a mod while staying current...yes, it is possible. I don't like it when the reps tell people to get behind in order to up their chances....that is dirty pool. I mean, some people can't help BUT get behind, but when told to do it as a stategy? By the mortgage company?

Holler if you need help! I'm sticking around to help my friends!

[davephx]

Good example since you had a lot working against you. Not behind, too much income for 31%, with Freddie which seems harder to work with on alternatives than Fannie etc, but by not taking no and working very hard got a successful story.

Your story gives hope for the almost hopeless

I know Fannie has their own alternatives but have not heard about Freddie. Our friend the Citi mod person said that Citi really doesn't really have much traditional direct but Fannie does as I recall. I don't recall much with Freddie but they came thru for you.