Helocs & Mods Help!

[rockfish]

I need to modify my helocs and ultimately would love to get rid of them. Is it true they are unsecured if your firsts are underwater? I have heard many say yes and many still say no? Is there anyway to get them reduced or settled for much less? What happens when they become a charge off? Is it easier to deal with them at that point the Helocs? I have $200K on two properties and need to figure out what to do? Either get them modified for much lower interest rate or reduce the principle at the same time. The rates are like 9% on them, I know crazy! Someone mentioned a "buy out?" My Helocs are with Wells Fargo. Your help is greatly appreciated, thank you.

[rockfish]

What if you stop paying your 2nds or helocs but you still pay your 1st's can they still try to foreclose on the 1st's, how does that work? Trying to get the helocs principles lowered or wiped out without going through chp13? Does anybody know how to do this? Would it be possible after they get charged off and go to collections to get them settled for less or will they try to foreclose? Are collections on Helocs and 2nds handled differently than credit card collections? Anybody know, thanks again?

[Arizona Jim]

Professor Shays has been very gracious in answering questions and giving advice on this forum. But, he can answer just so many individual questions. I recognized his experience, etc. when I first came on this site. I looked up every post of his that was still available. Give it a try. Then just look at other threads for similar situations to yours. You'll likely find some answers.

[The Professor]

I order to gain a true picture of your situation, rather than provide general information, it is necessary to have some key facts relating to the properties you own. It is also essential that you identify each property separately when answering questions posed. So for each such property identify it (home, rental, etc.) and then answer the following:

1. At the time you purchased the property did you intend to occupy it as your personal residence (and if so is it still your personal residence)?
2. What state is the property located in?
3. For each loan on the property, identify the lender, current loan balance, and whether the loan was created at the time you purchased the property, and its entire proceeds used to purchase the property.
4. What is your estimate of the current fair market value of the property?

Daniel

[saifnawaz]

Hello Professor Shays,

I bought this condo as primary residence in Mar 2007 for 389K, My loan Agent got me 2 loan on this, 1st loan for 320K and 2nd loan for 59K and i put 20K down payment. But after 3-4 Months I got a HELOC loan for 30K. All loans are from B of A. Now i am thinking of walking away...coz my home value is 280K now. If i walk away what wil happen to my second and Heloc Loan?? If bank foreclose do i still have to pay 2nd loan amt and Heloc or Just Heloc Loan? or i dont have to pay anything... I am in CA..Please provide your inputs.. Thanks