Like Many, we are also caught up in the mortgage mess. In 2005 we decided to build our dream home and with our income level at the time and assets at the time (mostly Real Estate) we thought we could easily afford it. We were then hit with a double whammy... Our real estate portfolio (20 properties in AZ, ID and CA) was shrinking by about $100,000 per month and my income from Real Estate sales was also declining right along with the home values. Our first with Citi is at 1.4 M and we also had a second with Chase for 250k. In 2006 our house was appraised at 2.1 mil and today our especially hard hit community ion Northern CA has brought the value of our home down to a recently appraised value of $710k. We have been working to get a loan Mod for nearly 8 months now (going through the typical stuff, faxes not received, new person assigned, need to get updated package submitted) and were JUST told that we dont qualify due to the loan amount being over $730k... Our first payment is 7k per month and although we SHOULD be asking for a principal reduction, all we really need is a modest rat reduction to put us back into the black each month.
Has anyone had any success with higher loan amounts ? It doesn't make sense to me that Citi would want to take a NEARLY 1 Million dollar loss (after factoring in late payments and costs to resell) instead of helping us a bit with our interest rate.
We have just received the NOD and suspect that the house will be foreclosed on by Mid Sept
Can anyone offer advice???