Opinions Wanted on Moving Out of house

[Lisa in MN]

Hi Guys,
I am wondering what people think about the timeframe for moving out of our house. The Sheriffs sale is set for Jan 4, and in MN we have a 6 month redemption period. I have been looking for rentals and, we can rent a beautiful townhome for over 1,500 a month less than it has been costing us to stay in this house. I have gotten nowhere with WAMU regarding meaninful loan modification, and have contacted Hope Now and am waiting for them to call me back. I am going to contact Chase tomorrow regarding the Streamline Mortgage Program( it is extended to WAMU loans as well) Based on past experience, I have no reason to believe anyone will do anything. The Streamline Program looks so easy and simple on their flowchart but I doubt it is that easy- (I am sure we won;t qualify for some dumb loophole reason, like we got our loan during a full moon or something
Anyway I am interested in opinions on when we should find a rental and move out.
Shall I once again place blind faith in a system that has put me where I am today and not accepted a reasonable, sound offer of loan modification?
WAMU also has not responded to my RESPA request- Friday Nov 7th was 20 days- so I will be following up with an attorney friend to write a letter on his attorney letterhead.
Beyond that, I am done with all of this.
So....when is a good time to plan on moving out?

Thanks for the opinions
Lisa

[The Professor]

Lisa said, "we can rent a beautiful townhome for over 1,500 a month less than it has been costing us to stay in this house." I guess my confusion with this statement is that assuming you are not making the payments on the home, it probably isn't currently costing you much of anything besides standard utility services. The more important thing is does it make sense to move out during the redemption period, given that the home is effectively unmarketable during this period because the lender cannot convey clear title.

Lisa, my understanding is MN, like most of the states, does allow deficiency judgments designed to make your lender whole. What I'd recommend doing is to see if you can mitigate the lenders damages (thus reducing your exposure), by seeking to transfer your potential redemption rights. Who knows how valuable those redemption rights are... One thought might be to offer to convey them to the lender in exchange for a full release from liability for any potential deficiency judgment.

Daniel

[Lisa in MN]

Thanks Daniel, Sorry for the confusion. What I meant is what the unreasonable loan modification would provide us, as well as what we have been paying for years. Your second paragraph...do you mean contacting them regarding deed in leiu or "cash for keys " type of arrangement during the redemption period? Doing this and asing them to release us from future liability?
Lisa
Thank you for your thoughts

Lisa

[The Professor]

The problem with foreclosures in states like MN is you may have continuing liability after the foreclosure for a deficiency judgment. My second paragraph focused on that continuing liability that could haunt you, eventually resulting in economic challenges as the creditor's focus becomes felt through their filing of a lawsuit and the imposition of collection methods (wage garnishment, levy on bank account, etc.).

So I guess what I was suggesting is you ought to be negotiating with them on post-foreclosure liability now with the possibility of surrendering your redemption rights in exchange for either eliminating or reducing your post-foreclosure liability.

Daniel