Mortgage companies and H4H success!

[Moe Bedard]

Your right........
considering this is a DIY forum..........I would say that the 264+ success stories in the success section of the forum and counting of the members who have successfully negotiate their own mods with the help of the LoanSafe forum........tell a different tale

[Newman]

Originally Posted by *** Damiano

Your right........
considering this is a DIY forum..........I would say that the 264+ success stories in the success section of the forum and counting of the members who have successfully negotiate their own mods with the help of the LoanSafe forum........tell a different tale

I agree..for those reading this, don't navigate these waters alone...post on Loansafe...as a famous man once said, "a man needs to know his options..." know yours...

[Piscesgirl]

It seems that a temporary modification or going from an arm to a fixed or something like that has been getting a bit easier over the past few months from reading everyone’s posts. I just wonder if the actual H4H write down would be easier to accomplish if a 3^rd party was used… Just trying to figure out why there haven’t been more of them… (or how I can be next in line )

Well, other than the obvious fact that the banks don’t want to do it…

Someone should start ‘house swap’ like ‘wife swap’ we can just start short selling to each other… Ha Ha

[Newman]

Originally Posted by Piscesgirl

It seems that a temporary modification or going from an arm to a fixed or something like that has been getting a bit easier over the past few months from reading everyone’s posts. I just wonder if the actual H4H write down would be easier to accomplish if a 3^rd party was used… Just trying to figure out why there haven’t been more of them… (or how I can be next in line )

Well, other than the obvious fact that the banks don’t want to do it…

Someone should start ‘house swap’ like ‘wife swap’ we can just start short selling to each other… Ha Ha

I would say this. That ANYONE trying to do some sort of modification on thier own, who does not have an extensive background or knowledge of the loan process, or even any of these processes, is a fool to try it on thier own. The banks are counting on YOU to call, not an attorney, because you are much easier to intimidate and scare. This site that you see, the forum aspect of it, is only one half of a very good site for help, true help, for folks trying to wade through these waters. If you do not have the expertise, or the knowledge, go back to the homepage, find the number and call. I am not telling you this because I get paid or anything, but because I called every damn modification company out there, and these guys were one of the few who came off to me as knowing what to do. AS for the H4H program, H4H is a short refi, meaning it is a new loan, NOT a modification. If you are thinking about H4H, you need to :

1. Call your lender and make sure that they are willing to work with the H4H program. For banks, H4H is an option, and not all are onboard with it.
2. Find a broker with H4H experience, you will need him as a go between the two banks. You can not do this one by yourself.
3. Make sure that modification is not going to help you, by calling the good folks on this site and giving them the details of your specific situation so that they can try to either help you through a mod, or point you towards H4H.
4. If you decide to go for H4H, after all of the above, go to www.fha.gov and look on the H4H FHA approved lenders list to find someone in your area to work with.

Best of luck to you.

[Newman]

UPDATE....All of our paperwork is in, we are in underwriting as I write this, for credit and loan approval. This is the BIG hurdle, from here, once we get the approval, we go to the appraisal, then to the final underwriting. So today I am a little nervous and jittery, as this is a BIG hurdle to get over, but I guarentee you all, if can do it, all of you can..so keep your fingers crossed, it could be a great day, or a bad day...time will tell.....N

[franklinco]

Originally Posted by Newman

UPDATE....All of our paperwork is in, we are in underwriting as I write this, for credit and loan approval. This is the BIG hurdle, from here, once we get the approval, we go to the appraisal, then to the final underwriting. So today I am a little nervous and jittery, as this is a BIG hurdle to get over, but I guarentee you all, if can do it, all of you can..so keep your fingers crossed, it could be a great day, or a bad day...time will tell.....N

We hope for the best outcome and you get the H4H loan. Also there is legislation to change the H4H program a bit in HR 1106. This bill gives safe harbor to servicers from possible lawsuits if they modify loans. It allows modification of home loans in chapter 13. Gives lenders a better return for modified FHA or VA loans and also changes some elements of H4H program. Section below concerns H4H.

*SEC. 202. CHANGES TO HOPE FOR HOMEOWNERS PROGRAM.*
(a) Program Changes- Section 257 of the National Housing Act (12 U.S.C. 1715z-23) is amended–

(1) in subsection (c)–
(A) in the heading for paragraph (1), by striking `THE BOARD’ and inserting `SECRETARY’;
(B) in paragraph (1), by striking `Board’ inserting `Secretary, after consultation with the Board,’; and
(C) by adding after paragraph (2) the following:
(3) DUTIES OF BOARD- The Board shall advise the Secretary regarding the establishment and implementation of the HOPE for Homeowners Program.’.
(2) by striking `Board’ each place such term appears in subsections (e), (h)(1), (h)(3), (j), (l), (n), (s)(3), and (v) and inserting `Secretary’;
(3) in subsection (e)–
(A) by striking paragraph (1) and inserting the following:

`(1) BORROWER CERTIFICATION-

`(A) NO INTENTIONAL DEFAULT OR FALSE INFORMATION- The mortgagor shall provide a certification to the Secretary that the mortgagor has not intentionally defaulted on the existing mortgage or mortgages and has not knowingly, or willfully and with actual knowledge, furnished material information known to be false for the purpose of obtaining the eligible mortgage to be insured.


`(B) LIABILITY FOR REPAYMENT- The mortgagor shall agree in writing that the mortgagor shall be liable to repay to the Secretary any direct financial benefit achieved from the reduction of indebtedness on the existing mortgage or mortgages on the residence refinanced under this section derived from misrepresentations made by the mortgagor in the certifications and documentation required under this paragraph, subject to the discretion of the Secretary.’;

(B) in paragraph (7), by striking the semicolon and all that follows through `new second lien’;

(C) in paragraph (9)–

(i) by striking `by procuring (A) an income tax return transcript of the income tax return of the mortgagor, or (B)’ and inserting `in accordance with procedures and standards that the Secretary shall establish, which may include requiring the mortgagee to procure’; and


(ii) by striking `and by any other method, in accordance with procedures and standards that the Board shall establish’; and


(D) by adding after paragraph (11) the following new paragraph:


`(12) BAN ON MILLIONAIRES- The mortgagor shall not have a net worth, as of the date the mortgagor first applies for a mortgage to be insured under the Program under this section, that exceeds $1,000,000.’;

(4) in subsection (h)(2)–

(A) by striking `The Board shall prohibit the Secretary from paying’ and inserting `The Secretary shall not pay’; and

(B) by inserting after the period at the end the following: `In implementing this provision with respect to a failure by a mortgagor to make a first payment, the Secretary shall establish policies and timing of endorsements as consistent as is possible with endorsement policies established with respect to mortgages insured under section 203(b)’;

(5) in subsection (i)–


(A) by inserting `, after weighing maximization of participation with consideration of collection of premiums,’ after `Secretary shall’;


(B) in paragraph (1), by striking `equal to 3 percent’ and inserting `not more than 2 percent’; and

This portion above seems to drop the UPMIP to a maximum of two percent. The below portion limits the yearly MIP to a maximum of one percent.


(C) in paragraph (2), by striking `equal to 1.5 percent’ and inserting `not more than 1 percent’;

(6) in subsection (k)–


(A) by striking the subsection heading and inserting `Exit Fee’;


(B) in paragraph (1), in the matter preceding subparagraph (A), by striking `such sale or refinancing’ and inserting `the mortgage being insured under this section’; and


(C) in paragraph (2), by striking `and the mortgagor’ and all that follows through the end and inserting `may, upon any sale or disposition of the property to which the mortgage relates, be entitled to up to 50 percent of appreciation, up to the appraised value of the home at the time when the mortgage being refinanced under this section was originally made. The Secretary may share any amounts received under this paragraph with the holder of the eligible mortgage refinanced under this section.’;

(7) in the heading for subsection (n), by striking `the Board’ and inserting `Secretary’;

(8) in subsection (p), by striking `Under the direction of the Board, the’ and inserting `The’;

(9) in subsection (s)–

(A) in the first sentence of paragraph (2), by striking `Board of Directors of’ and inserting `Advisory Board for’; and

(B) in paragraph (3)(A)(ii), by striking `subsection (e)(1)(B) and such other’ and inserting `such’;


(10) in subsection (v), by inserting after the period at the end the following: `The Secretary shall conform documents, forms, and procedures for mortgages insured under this section to those in place for mortgages insured under section 203(b) to the maximum extent possible consistent with the requirements of this section.’; and

(11) by adding at the end the following new subsections:

`(x) Payment to Existing Loan Servicer- The Secretary may establish a payment to the servicer of the existing senior mortgage for every loan insured under the HOPE for Homeowners Program in an amount, for each such loan, that does not exceed $1,000.

The lender can get up to $1000 for participating.

`(y) Auctions- The Secretary, with the concurrence of the Board, shall, if feasible, establish a structure and organize procedures for an auction to refinance eligible mortgages on a wholesale or bulk basis.’.

(b) Reducing TARP Funds To Offset Costs of Program Changes- Paragraph (3) of section 115(a) of the Emergency Economic Stabilization Act of 2008 (12 U.S.C. 5225) is amended by inserting `, as such amount is reduced by $2,316,000,000,’ after `$700,000,000,000′.

[franklinco]

Bad at acronyms. The up front mortgage insurance premium, UFMIP changes to a maximum of 2%.

[Newman]

OK.....but how soon will this bill pass?? Or is this already done???

[franklinco]

Originally Posted by Newman

OK.....but how soon will this bill pass?? Or is this already done???

It should go up for a vote today. I believe there are special rules which limit debate in effect. A consumer Action group suggested phoning your representative to have your concerns addressed. No lawsuits from lenders against servicers, servicers can get up to a thousand dollars for participating, lower H4H insurance which all should encourage H4H acceptance plus modifications possible in chapter 13 which would give additional incentive to lenders/servicers to go for H4H or other modifications voluntarily.

But as all goes with DC, it may be held up in the Senate if they do not get the 60 votes needed. Since this is a partisan stance on the modification portion of the plan, it might be awhile before this actually becomes law.
I just found out about this legislation yesterday. It addresses properly the important matters that I see.

Good luck on your H4H attempt. I believe it is still going to be the 3% up front and 1.5% initially. You may get a reduction in the yearly MIP as time goes on or it may be 1.5% yearly for the length of the plan.

[Newman]

I will talk to my guy today, find out. I can see myself paying the rates at the moment, then getting a check later on for the amount over paid....that would be nice....it should be retro, no idea why it would not be....

[keeme]

Hello, I am new here and just found out about h4h. I did a refi in Feb 07 at (what I think was 6.5% interest only 2 year/5 year?). the thing got sold a few times and I got a letter last year from ASC (America's Servicing Company) stating my loan would be locked at the current interest for 30years... I thought that was kinda strange. I started looking into getting this thing refinanced with a fixed about two months ago but ASC seems to have dissapeared from the face of the earth. No longer can I access the website and phone numbers I have say sorry Charlie. I am very interested in the H4H and any info would be helpful (on h4h and ASC).

signed - Refi Idiot in Mesa, Az

[Newman]

Originally Posted by keeme

Hello, I am new here and just found out about h4h. I did a refi in Feb 07 at (what I think was 6.5% interest only 2 year/5 year?) with Home123... the thing got sold a few times and I got a letter last year from ASC (America's Servicing Company) stating my loan would be locked at the current interest for 30years... I thought that was kinda strange. I started looking into getting this thing refinanced with a fixed about two months ago but ASC seems to have dissapeared from the face of the earth. No longer can I access the website and phone numbers I have say sorry Charlie. I am very interested in the H4H and any info would be helpful (on h4h and ASC).

signed - Refi Idiot in Mesa, Az

I think the biggest, most important thing you need to do BEFORE you start on H4H, is find out what the deal is with ASC, if they are in business, or what? And, you need to find out where you need to send payments, if that has changed, once you get them under control, then H4H will be here waiting....seems to me they have a problem....keep in touch and keep us up to date..if that fails, contact *** on here, of get in touch with the Attorney, have him do some research also...

[Newman]

UPDATE!!! Still in underwriting as of today, Friday, 02-27-09, trying to tie up a few last minute docs they threw our way, no prob, I got them done, I may get out of underwriting tonight, we will see. But that is not the reason I am writing this today, I want to share something with all of you. Something special. For most of you, these are dark times, and a lot of you feel you have no where to go with all of this, and this video, this is my prayer for all of you, watch it, then get back to work, you can do this, I promise.....

YouTube - Are You Going to Finish Strong? or Are You Going to Give Up?

[dasmom]

Newman,

Thanks for the link. The visual presentation of getting back up when things seem impossible was very powerful and inspiring!

dasmom

[Newman]

Originally Posted by dasmom

Newman,

Thanks for the link. The visual presentation of getting back up when things seem impossible was very powerful and inspiring!

dasmom

Great, I'm glad you liked it....if you liked that, you might like these, they have helped me a lot...they are two parts of the same sermon by Rob Bell, and it has helped me immensely..enjoy.....


Part 1

YouTube - Rob Bell - 14 - Breath (legendado) Parte 1/2

Part 2

YouTube - Rob Bell - 14 - Breath (legendado) Parte 2/2

[Kirby'sMom]

Thank you for posting those. They were awesome! We are standing on Holy ground!!

[Newman]

Originally Posted by Kirby'sMom

Thank you for posting those. They were awesome! We are standing on Holy ground!!

I so glad you liked them. I found them a powerful message to me when the times were darkest late last year, and they still are. If we all just slow down a little and breathe, relax, we can all get through this..of course, the message is much more powerful than that....but thats what people on here need right now...powerful stuff....

[garyys]

Got a call yesterday from the modification dept of the mitigation company hired by my new lender (the FHA lender that wants my loan with H4H terms). The mitigation company was supposed be dealing with Aurora for a H4H refinance. Keep in mind I have not paid a dime out of pocket, this is a company that is hired by the new lender (I am sure I pay for this in points if the loan close). The mitigation rep said I was turned down by Aurora as they are not participating in H4H. He then goes on to tell me he can negotiate a modification for me, I would only have to pay if it works. I told him I now all about modifications and I don't think it will help. I told him to send me the details so I have it in writing. The only reason I am working through these companies is because I want to short refi under the H4H. I think I could get a modification on my own.

I left messages for my loan rep and the two reps at the mortification company that had been working on my H4H. Its past 5 on the east coast, so I will wait for a call back tomorrow. I am emailing them too. I have had no official notification that I have been denied.

I called Aurora and talked to the home retention group (funny now when I call it takes me directly to them). They, once again, tell me that I am in review for a VA loan modification. I have never been a vet, and never submitted a modification request to them. After 30 min on hold they tell me its not a VA refi, that's just a term they use? They tell me that there was a modification submitted on Jan 14 that was a 19 page fax, but can't tell me who it came from? He proceeds to tell me that Freddie Mac is not participating in the H4H program. So I am not under review for H4H.

Transfered to customer service, they tell me that it was a package submitted to them by the mitigation company, for H4H. I asked how it was changed into a motification, not denied? Transfered back to home retention group! (call at 45 min now)

(At 1 hour Home retention picks up) I have to tell new rep what I am trying to do, she tells me she will put me on hold and check into it...

1 hour 45min I hung up, I dont know what the Aurora hold song is, but the US gov should use it in place of waterboarding!

Will try later...

Gary

[garyys]

Received an email from the loan agent in regards to all of this,

"That is correct, Aurora is not negotiation any loan reductions in payoffs"

Wondering when they were going to tell me about this?

Now to research how my investor, Freddy Mac, is dealing with these because Aurora is telling me that its the investor not playing ball?

Gary

[franklinco]

Originally Posted by garyys

Got a call yesterday from the modification dept of the mitigation company hired by my new lender (the FHA lender that wants my loan with H4H terms). The mitigation company was supposed be dealing with Aurora for a H4H refinance. Keep in mind I have not paid a dime out of pocket, this is a company that is hired by the new lender (I am sure I pay for this in points if the loan close). The mitigation rep said I was turned down by Aurora as they are not participating in H4H. He then goes on to tell me he can negotiate a modification for me, I would only have to pay if it works. I told him I now all about modifications and I don't think it will help. I told him to send me the details so I have it in writing. The only reason I am working through these companies is because I want to short refi under the H4H. I think I could get a modification on my own.

I left messages for my loan rep and the two reps at the mortification company that had been working on my H4H. Its past 5 on the east coast, so I will wait for a call back tomorrow. I am emailing them too. I have had no official notification that I have been denied.

I called Aurora and talked to the home retention group (funny now when I call it takes me directly to them). They, once again, tell me that I am in review for a VA loan modification. I have never been a vet, and never submitted a modification request to them. After 30 min on hold they tell me its not a VA refi, that's just a term they use? They tell me that there was a modification submitted on Jan 14 that was a 19 page fax, but can't tell me who it came from? He proceeds to tell me that Freddie Mac is not participating in the H4H program. So I am not under review for H4H.

Transfered to customer service, they tell me that it was a package submitted to them by the mitigation company, for H4H. I asked how it was changed into a motification, not denied? Transfered back to home retention group! (call at 45 min now)

(At 1 hour Home retention picks up) I have to tell new rep what I am trying to do, she tells me she will put me on hold and check into it...

1 hour 45min I hung up, I dont know what the Aurora hold song is, but the US gov should use it in place of waterboarding!

Will try later...

Gary

Thanks Gary for the update. With all of the dealing on the phone it seems like they are sitting back there on the other end of the phone playing "liar liar".
Aurora should be shut down. All loans should be written off so those tortured by the servicers will have the funds to stimulate our economy. The free and clear home without a lien should slightly cover all of the mental anguish induced by these companies.
The investors can file suit to collect the monies directly from the servicer and its parent cmpanies. Effectively it would get the tax dollars redirected back to the consumers and away from the parties that started the meltdown originally.

[franklinco]

Originally Posted by garyys

Received an email from the loan agent in regards to all of this,

"That is correct, Aurora is not negotiation any loan reductions in payoffs"

Wondering when they were going to tell me about this?

Now to research how my investor, Freddy Mac, is dealing with these because Aurora is telling me that its the investor not playing ball?

Gary

If it is correct that a nationalized entity is not aiding in reducing the demise of the current situation, the odds of the March 4th plan that is supposed to theoretically (more like statically tainted) help out 4 million for the reduction portion and 5 million for the GSE participatory portion of the program.

No help for homeowners and redirection of the increase in the national debt toward the lending institutes for their infliction of the misdeeds toward homeowners.

Keep us posted on the results of your inquiry into the role that Freddie Mac has regarding causing a total loss compared to a reduced loss.

[garyys]

I emailed Freddie Mac from their web site, interested in their excuse? I will hopefully get a reply tomorrow.

Gary

[franklinco]

Originally Posted by garyys

I emailed Freddie Mac from their web site, interested in their excuse? I will hopefully get a reply tomorrow.

Gary

Thanks Gary! I am wondering if it is Freddie Mac (or Krugar) which is the blocking factor ir if it is Aurora which is the corrupting factor.

[garyys]

No answer yet,

Here is my CC list for my QWR, I am going to include a personal letter in each as to why they are receiving it. These are the most current I could find, I think they are all good.

Mr. Ralph A. Lenzi
Chief Executive Officer
Aurora Loan Services

10350 Pk Meadows Drive
Littleton, CO 80124

JP Morgan Chase & Co.
Attention: James S. Dimon (CEO)
Office of Secretary
270 Park Avenue, 39th Floor
New York, N.Y. 10017

David M. Moffett
Chief Executive Officer
Freddie Mac
C/O Corporate Secretary
8200 Jones Branch Drive MS 200
McLean, Virginia 22102

Shaun Donovan
United States Secretary for Housing and Urban Development
Department of Housing and Urban Development
451 7th Street S.W., Washington, DC 20410

U.S. Senator Chris Dodd
RE: Hope for Homeowners Program
448 RUSSELL SENATE OFFICE BUILDING
WASHINGTON, DC 20510

U.S. Senator Barbara Boxer
501 I Street, Suite 7-600
Sacramento, CA 95814

The Honorable Dennis Cardoza
1010 10th Street, Suite 5800
Modesto, CA 95354


Good times!

Gary

[franklinco]

"David M. Moffett
Chief Executive Officer
Freddie Mac"

I read on smartmoney that Moffet is stepping down from Freddie Mac. I wonder how I'd be able to apply for and get the job. Apparently he cannot or does not intend to salvage the GSE. Good luck getting an answer. Hopefully the answer will be toward the positive for your concerns. Thanks for the update.

Government mortgage giant Freddie Mac (FRE) said Chief Executive David Moffett will resign no later than March 13, and the company is working with the Federal Housing Finance Agency to appoint his successor.