Just another loan # in their system

[gundamz]

Hi,

I recently lost my job and now seriously in trouble to make any payments. I am in Raleigh NC, my house consist of a 1st loan and a HELOC. The HELOC was opened after the house was closed. The 1st is Wachovia's pick a payment and the HELOC is interest only. I just stopped paying the 1st this month but paid the HELOC. I was told HELOC can go after my personal asset so I want to be on their good side until I know for sure. Can anyone point me to where I can find a good foreclosure lawyer in my area?

Thanks,
00434xxxxx

[Moe Bedard]

Hi gundamz,


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


You would either need to go to your state's bar association..........
https://www.ncbar.org/public/lrs/search.aspx


or

National Association of Consumer Advocates – Consumer Protection Advocates and Attorneys

[gundamz]

Hi ***,

I am new to this great forum but I know you are one of the most important contributor to this forum. I want to fill in the detail and what my worries are about foreclosing my house.

I bought my current home for 599,856 in 2007. My 1st mortgage owes 472,834 (neg ARM) and my HELOC owes 120,231 (interest only.) I think the house is worth about 510000. My wife stays at home to takecare of our 1 yr old and mine is the only income. Since I lost my job early in Feb, I've been in constant stuggle about if I should continue to keep the house. One of our friend already offered one of their rental for us if we decided to move out. I read so many stories for the past 2 days and I am now ready to make my first move.
I just called Wachoiva and they already said they can't do anything since I have no income. Here are my questions:

1. Should I notify the HELOC that I stopped paying the first? The lady from B of A said they can go after my assets (401k, bank savings, etc)
2. I got rejected 2 times for the hardship letter, what should I do next?
3. I have a company and rentals that are bringing in some cash but not enough to pay for the mortgage, can the 1st and HELOC go after them?
4. Should I start clearing out my bank savings so they can't touch it?

Thanks

[Moe Bedard]

I am sorry..............we can not advise on these questions...........that would be something that you may want to ask an attorney that is familiar with debt collection and foreclosure in your state to go over what you would be facing.

[gundamz]

***,

Can you tell me what steps should I take? Should I notify BofA HELOC about the stop payment to the 1st? I was wondering if it makes a difference if I keep the HELOC current and stop paying the first.

Thanks,
00424xxxx

[Dan Bailey]

gundamz,
As *** stated, we cannot be liable/ advise you to pay/not pay, etc...that is a question for an attorney.

The first does take precedence. Therefore, the second would get nothing if the first forclosed.

[gundamz]

Just a quick update.

I had a phone conversation with NACA rep and now going to provide some more info. I found out that they do not help with 2nd/HELOC loan. So I contacted a local foreclosure attorney and the response from him got me very confused.

Here is his advice:
1. I should get a real estate agent and put my house forsale immediately.
2. He mentioned that even if the house goes to foreclose, the 1st and 2nd still can put a judgment towards me. I asked him if NC is a non-recourse state, but he said they can still go after my assets.
3. He said the banks will only help me if I put my house forsale, is that true?

I really don't know what else to do. Please advice.

Thanks

[2bgrand]

I think the answers were vague because you are inquiring nice and early in the process, and we don't understand your intentions. Do you want to keep the house, etc. From what I've seen here on this sight and others is that the house would have to be in arrears on the payments and on the market for 60 - 90 days before the lenders would consider loan modification or even a short sale if need be, both of which can be researched here on this sight. I cannot advise either, I'm just another unemployed in arrears homeowner like yourself, that has been researching intensely to arm myself with understanding of my options. One thing to look into before you up and pack is looking into your state's redemption period, which is the length of time from your foreclosure judgement to the time you will need to be moved out, Wisconsin is 12 months.

[snapple candy]

I saw a foreclosure attorney a few days ago and he was pretty useless and didnt appear to know much more than I in many regards. As for judgments, etc I was referred to a BK attorney. They know much more about this area of law. I have not heard that banks wont help you unless you put your house up for sale and have not experienced that personally. I would get 2nd opinion and maybe third before I hung my hat on that advice.
Have you thought about contacting your 2nd lender directly? Some are having some success with that.

[Rick Curl]

gundamz,

I do know from experience that you do need income in order to have a chance at getting a mod approval. It basically comes down to three factorsand those are a plausible hardship, the ability to make the payments after the mod and the third and maybe the least critical is the home being up side down. You prove the ability to pay by supplying income documentation which is compared to a budget worksheet that lists all of your monthly consumer debts.