COUNTRYWIDE Rental Properties

[jishin]

Hi,

I am new here but was reading the site for a week and decided to join and seeking for advice.

1. How the hardship letter plays a role in this process? Do I need to include my proposal what will work for me? If I get denied, how often can reapply??

2. I am consicering short sale but am afraid the lender will persue the deficency from my other asset ( 2 properties have equity in it about 10% although it takes 1 year to sell)

3. My rental income doesn't cover the entire mortgages but should I make even partial payment to lender? will it help or not?

4. when you give the fiancial information over the phone initially, what would be most important thing to include or exclude in order to be accepted?

Thank you in advance...

[tandm]

The hardship letter should contain what has happened to you and or the terms of the loan that has made you unable to make the current payment. An example would be a change in your rate from 4.5% to 6.5% has made it too expensive for you to make the payment. Another example might be that your hours at work have been reduced and you no longer earn the same amount of money that you did when you first received the loan. The bank wants to know what the circumstances were that changed.

If you give financial information over the phone, I would consider having it all spelled out on paper for yourself before you give the information to the bank. This way you can refer back to it in future conversations to know what exactly you told them. Bear in mind, the bank will probably look at what you earn and your expenses, and determine what kind of payment you can afford based on that information.

[jishin]

Thank you, tandm..

My budget is in red and according to the threads here, the budget has to be surplus about $150.00. Is it true??

Also anyone got a good result hiring a lawyer for their loan modification?

[tandm]

It's hard to know what your budget has to be because who knows what guidelines countrywide is using to determine a modified loan. Recent information seems to suggest that countrywide would look for you to be able to use anywhere from 32% to 40% of your current income for a house payment. If taking such a percentage would still leave you unable to pay your other bills, it would make sense for countrywide to not make a loan modification because you still wouldn't be able to cover the payment.

For example, let's say you earn a net income of $3000 a month. A house payment of $960 would be 32% and a house payment of $1200 would be 40%. If the bank sees that you have those funds available to make a payment somewhere within that parameter, then it might make sense to offer you a modification that fits that. They might make offer that fits that payment for only a year or two. They might make an offer that fits that payment for five years. It will depend on the counselor you receive and what guidelines they are following.

I'm hearing from the loan modification group we are working with that 12/1 program that has produced no offers yet might be coming forth with a blanket set of guidelines to possibly apply to all the homes in the program. That might include no principal reduction or a principal reduction to equal 95% of current market value. After that, there may also be a fixed rate - same for all - on the loan. If you qualify and can afford the payment, then great. If not, I guess back to the drawing board.

So many of these loan modification groups operate under a lawyer's shingle. Is there really a lawyer handling your case, calling countrywide on your behalf, etc.? No. There is usually a team of people calling all the various banks who are trained to do this type of negotiation to some degree or another. They have access to a lawyer and can ask questions of that person when necessary. Usually, this team can handle the basics on their own. They get your financials ready by discussing this with you, give advice for the hardship letter, etc.

They continue the contact with the bank on your behalf. If the bank calls you, you can say I have "Blank" representing me and they will talk to you on my behalf. Countrywide continued to call me despite this until I was able to say we were in the executive office. When I told the caller that, they noted that and the calls stopped.

[Moe Bedard]

Hi jishin,



Welcome to the forum and thank you for joining.............

Here is a thread for you.................you can ask questions and post update here so that members going through the same thing can follow your story...............

[jishin]

tandam,

Thank you for your advice.

I am getting a negative cash flow from one particular rental property ( I own 4) about $1200/month and it is upside down about $150,000.

Even if I get a loan modification to afford my mortgage, let's say, I think that maybe it is not a good decision to keep the property since I owe so much more than the actual value of home. Wouldn't it be better in practical sense to short sale it if the lender will forgive the deficiency and wipe out the secondo mortgage although my credit score will suffer for a while???

Thank you,

[Moe Bedard]

You can call for a free consult to see if the attorney on the homepage of the forum can help..............

here is the link
Safe-loan-modification-service | Home Mortgage | Protect Your Home & Mortgage With Loan Safe

[jishin]

***,

Please tell me about the credential of this firm ( Griswold).

[Moe Bedard]

they have already been checked and authorized by Moe to be a part of LoanSafe...........and you can check licensing with the California Bar Association.

[jishin]

Hi, ***:

I called them last week and went over my financial information. The rep wasn't very detailed and sounded incompetent about his work. Maybe he was new...

Do you have anyone particular that you recommend??

Thanks

[Moe Bedard]

you can either go onto your own state's bar association website for a referal or go to

National Association of Consumer Advocates – Consumer Protection Advocates and Attorneys

[katita]

Jishin

Yes I was able to verifie din my story that CW wants to see at least 250 plus bottom line and also no more than 300 a month to pay credit cards. I did make it up and worked. But my headaches comes later when they do not update my account and received continuos collection calls