Ditech/GMAC offer and denial?

[zippsgal]

Hi there! I am new to this site as a poster however I have been lurking for quite a while now. I have received wonderful information and motivation here - thank you!

I have been denied by GMAC on my first mortgage as well based on income - the rejection letter stated that my income was sufficient to make my payments. However, today I found a FedEx envelope on my porch with an offer to modify my HELOC (also through GMAC).

I have a HELOC for $184,000.00 and the payment has been just under $500 for quite some time now due to the rate cuts. The letter regarding the second mortgage indicates that they are offering a 3 month trial period of $297.71, will forgive any remaining delinquent interest (I am not and have never been delinquent), bring the account current (it has always been and remains current), and temporarily reduce my rate to 2% for 60 months.

Now I have some questions:

1. Can I contact GMAC regarding my first mortgage even though they have denied it thus far? Do they negotiate after they deny? If so - any words of advice? It is a 5/1 ARM set to adjust in December currently at 5.25% with a $324000.00 balance.

2. Any opinions on the offer that I received for the HELOC?

I really appreciate any advice that anyone can offer. I am doing this by myself as both of these loans were taken out to save my home at the time of a divorce. I am trying my very best to learn throughout this process. I want to stay in my home no matter what. Thanks in advance for all of your help!

[SillyWorld]

Welcome...And if the loan I mean 1st is just in your name, then you need to add up your Gross income and have only 1 property, and see if 31% of your GROSS is less than or more than your 1st mortgage and then add in 2nd payment that should bring you over...It is good you got the 2st MOD as now you can do 1st, so if the 31% of gross is more than your mortgage 1st then you can qualify for a MOD on 1st so you probly read...

Have you thought about NACA..//z?

[zippsgal]

Thanks Silly! I appreciate your response. With the mod on the HELOC and my first mortgage I am over 31% of my gross monthly income still. If I have been denied on my first already.....can I resubmit an application? How do I proceed if I have already been denied?

Regarding the modification offer for the HELOC...it was only two pages in a FedEx envelope. I guess I was expecting more paperwork maybe? Is that normal?

I am sorry for all of the questions but I am really unsure about this whole process - even down to the details.

Thanks again.

[SillyWorld]

I declined an offer from my Citimortgage and NACA.com made an offer to them so if I were you I would apply NACA and set up a meeting on phone and see what they can offer