I most certainly welcome foreclosure stories in Nevada

[Reno1]

It appears that a lot of postings in this forum are California related. I am aware that we have different foreclosure laws in Nevada.

I am currently 4 months behind on my first and second. I contacted Hope Alliance/Greenpath Debth Solutions to help out a loan modification. Everything is so confusing right now, and I am not even sure if this will work. Obviously, it may ultimately result in me walking away and go into foreclosure.

My question is... it can't be that simple (here in NV) is it? Just walk away on $548K debt with somekind of repercussion? I read one of the threads (by racoon?) and that an insurance company is suing him for the difference. Is this typical or just an isolated case.

As I stated in title, I would appreciate if anyone who have gone or in the process of foreclosure in Nevada share their stories. I am so stressed out by all this, and I know I am not the only one.

Loan background:
438K National City Mortgage 80% int. only 3 yrs,
110K Homecoming Financial 20% 15 years

First will reset in December.
Purchase money for 1 and 2

[JeanetteB]

Hi Reno1,
Sorry to hear about your situation. My husband and I are in the same situation down here in Las Vegas. I also have been having trouble finding someone in las vegas either in the same situation or has already gone through it so I know what it feels like along with all the stress and frustration. We have a 2bd 1bth townhouse that we bought in 2005 80-20 a.r.m just like you we paid 220,000.00. Well we tried to get a loan modification with our lender asc and with cms and neither one approved us with tried for months to get this done. We even tried to refinance but nothing work so finally we decided to rent a nice house before our credit was completly shot. We also have an hoa which we havent paid either. So far the only thing we've gotten are some letter stating we're behind (duh) and a couple of certified lettter stating we're behind and if we don't pay that they will foreclose on us (duh again). We have retained a bk atternoy just in case we need to file ch 7. But right now we're just riding the wave to see what happens. Please keep me updated on your situation and how everything goes for you. Again I'm sorry for your situation.

[Reno1]

Hello JeanetteB,
Really tough situation to in huh... Its strange that Nevada has one of the highest foreclosures in the nation and we don't know what is going on.

What is the reason for the lender not approving your loan mod? I talked with National City last night and asked about the government sponsored relief. And she said "that depends on the investor on your loan" if they will agree. I'm not sure where they are coming from... obviously they have not received any payment from us (4 months), so wouln't something is better than nothing? It appears that they rather foreclose the house. However, if you talk to HOPE alliance, they will give the BS that "the lender doesn't want your house".

I'm all good and accepted the foreclosure, however, my biggest concern is the defficiency from either the first lender or the 2nd lender or both. There's gotta be someone here that knows. I think the lender have 30 days to file defficiency?

[JeanetteB]

Hi Reno1, ASC said they wouldn't approve us for a loan mod because we made $200 less then we should for them to modify our loan. Dumb huh well we made enough before but not now because of the a.r.m which didn't want but was talked into getting but thats a whole new story. As far as the judgment goes i do know that in the state of Nevada they have three months after the sale of the property to come after you and that in the state of nevada we have non-judicial judgments as well as judicial but most are non-judicial which is a good thing. We also called hope now and all the other bs companies that are suppose to help you in this time and they all say the same thing that the company doesn't want your home and I tell them well tell that to the company who won't help us. We haven't made payments for five months and still nothing I keep checking the clark county recorders website to see the updates but so far all we have is a nod and we're in pre-foreclosure. My husband and I are just as worried to see what will happen but there's not much else we can do we could contact another attorney to see about the process but as you know attorney's will try and get to hire them and take your money without really telling you the whole story like for instance you should file ch7 so they can't come after you and in the end they never would have. Also as far as filing your tax returns next year as long as you don't have many assets ( meaning enough for them to take in order to pay off your debts) you qualify for the mortgage forgiveness debt relief act of 2007. I hope some of this has helped you.

[racoon]

Hello,

yes, I have been through the nightmare of foreclosure. It's not fun and yes we will get through this. I'm still waiting for my bailout,, but funny thing is no one seems to care about the little people. If I was a CEO they would be listening....

They have 6 months from the date of the trustee sale to file for deficiency. Now if the lender goes non judicial as in my case,, you can be pretty sure they won't seek the difference. I am no expert but that is how I understand it. Now the mortgage insurance, which I DID NOT KNOW I HAD... I did not pay PMI. This was lender purchased insurance. It was not disclosed but none the less, they have a right to seek the deficiency from you using their subrogation rights. It is complete BS but what are you going to do? So we have arranged for our future, thank god for family and we will be filing a chapter 7 after we force our income below the requirements. It's been an amazing journey. I wish you luck. Put on your fighting gloves because it is not going to be easy. I recommend staying in the home if you can work anything out with the lender. It will be interesting too see how many of these deficiency stories start popping up... I don't want to be so negative but this is the truth of the matter of how these dirty scums are going to play the game. I am pretty numb and bitter to the whole collapse of the mortgage industry. I say stick it to the lenders but that is the only one our government is protecting. My dream is to see these crooked CEO's lose everything they have and half to rebuild. Apparently, that is not how it works.

[Reno1]

Racoon,

Your situation just supported what I have been suspecting all along. It can't be that simple to just walk away on hundred of thousands worth of loan without somekind or repercussion. For cying out loud the banks will go after you for 0.51cents debt (this is true in our case).

Do you know if your situation is an isolated case or much typical for all the loans, and could possible happen to a lot of us? The direction that this mess is going downhill. Millions of foreclosures, millions of deficiency judgement, millions of bankcrupcy! I'm with you, I really hate to sound negative. Perhaps, complete meltdown is what we need to straighten this mess out.

Note for JeanetteB: I believe that you have to be in $58K income median to determine if you can file Chapter 7 or Chapter 13 bankrupcy. You may want to look into it.

[racoon]

Reno1,

I honestly don't know if this is isolated. I suspect people go into hiding. Not me, I am fighting this. As we speak, my brother is writing a answer to my summons to delay the default judgment. If the Bastards garnish my Christmas bonus I will be beyond words. Thank god for attorneys in the family! I plan to delay this so my BK is filed and they will be out of luck.

If you have a family of 4 as in my case you can make apx 71K and file the BK chapter 7. So, my husband will lose his job and in 6 months I will qualify. I may have to start as a chapter 13 but so be it. I refuse to pay for this. Again, thank god for another brother that just so happens to need a renter and will work with us on whatever we can pay in the meantime. So I have many resources to pull from. Not everyone will be this fortunate. I have thought about sending a Christmas card to the CEO of MGIC with a picture of my family that says Merry Christmas #$%(#$#&&... how does it feel to rob a family of everything they have! Hope you sleep well.

Sorry still bitter, but Zanax helps!

[Pinery67]

I'm new to this but reading the stories being told on this site, I am sad and amazed. So often the comment is that people always paid their bills, mtge, etc Had good credit ratings but caught up in this economy and sad RE market!

Our story is different and not quite so sad. We did NOT buy and bail but it might look that way until you know the details.

In 2006 we bought a beautiful lot in Pahrump, NV. Our intention was to build bt we were living in an expensive Motorhome and had to get rid of it first. We thought it was a temp. situation so we did not mind paying 11,000 down and paying interest only of 8.25%. It would only be for a few months. By the time the MH was sold we could not get a construction loan and builders were not making any concessions either. We paid 87500 for the lot. With our DP nd interest pmts we have almost 30M invested but it is now worth less than half of what we paid.

Fine, some poor soul lost a very nice house to Fannie Mae and we bought it right. But we can't afford to keep making interest payments on the lot and the loan baloons in June 2009. We can't pay the 78M that we owe. No way!

Talked to the bank (Flagstar) first they wanted to give us 5% for 5 years. When we turned that down they claim they will just foreclose and get a judgment and take our earnings. Our only ncome if from Soc. Sec. and my pension from the City of Mpls. MN.

I'll take the credit hit, but can they really take my pension?