Need advice - Loan Modification Forum

mroycroft · 10-20-2009, 07:13 AM

I applied to Nationstar for a loan modification back in July when I lost my job. I was current on my mortgage payment, and had limited reserves to continue my payments, but knew it wouldn't last more than a couple of months. I received my trial modification within a week and submitted the package with a first trial payment by August 15th. I have made all trial payments with the last due Nov. 1. I have submitted all requested paperwork within a day of any request. I have spoken with Nationstar several times a month to follow up on the permanent modification. I just received a letter yesterday telling me I am not qualified for HAMP. When I called the number on the letter, I was told that in order to meet the HAMP target of 31%, they would have to reduce my principal. I know this is not true. I was transferred to the loss mit. specialist who handled my case. I got voice mail, and left a message. The first gentleman gave me her direct phone number, and I have left a second message. I really need this modification, and losing the house is NOT an option.

Refinancing is also not an option because of new lending guidelines which make my property non-conforming for FHA or anyother mortgage I can find. I actually have excessive equity in this place, but it is our living as well as our home. I was not aware of what the NPV test actually was. I am now afraid that because this property is worth so much more than what the mortgage is, they will try to force me into foreclosure as opposed to modifying the loan. With the trial payments, I am now showing as behind in my payments, although I made all the trial payments as required. Should I try to pay the difference between the trial payments and my regular payments and try to bring the account back to current? I may be able to do this, but it will really leave us broke.

I just signed up for a NACA workshop this Sat to try and get help from them.

flagirl4444 · 10-20-2009, 09:17 AM

Well, apparently if you have equity it is pretty much impossible to get a HAMP modification because of the NPV. Did you ask the bank if they have any other options for you, perhaps one of their own in-house modification programs?

The bank can't force you into foreclosure, because you always have the choice to sell before that happens. If you wait for them to foreclose you will lose a lot more of that equity than if you sell the home yourself.

10-20-2009, 07:13 AM	#1 (permalink)
mroycroft Junior Member Join Date: Oct 2009 Posts: 2 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Need advice I applied to Nationstar for a loan modification back in July when I lost my job. I was current on my mortgage payment, and had limited reserves to continue my payments, but knew it wouldn't last more than a couple of months. I received my trial modification within a week and submitted the package with a first trial payment by August 15th. I have made all trial payments with the last due Nov. 1. I have submitted all requested paperwork within a day of any request. I have spoken with Nationstar several times a month to follow up on the permanent modification. I just received a letter yesterday telling me I am not qualified for HAMP. When I called the number on the letter, I was told that in order to meet the HAMP target of 31%, they would have to reduce my principal. I know this is not true. I was transferred to the loss mit. specialist who handled my case. I got voice mail, and left a message. The first gentleman gave me her direct phone number, and I have left a second message. I really need this modification, and losing the house is NOT an option. Refinancing is also not an option because of new lending guidelines which make my property non-conforming for FHA or anyother mortgage I can find. I actually have excessive equity in this place, but it is our living as well as our home. I was not aware of what the NPV test actually was. I am now afraid that because this property is worth so much more than what the mortgage is, they will try to force me into foreclosure as opposed to modifying the loan. With the trial payments, I am now showing as behind in my payments, although I made all the trial payments as required. Should I try to pay the difference between the trial payments and my regular payments and try to bring the account back to current? I may be able to do this, but it will really leave us broke. I just signed up for a NACA workshop this Sat to try and get help from them.

10-20-2009, 09:17 AM	#2 (permalink)
flagirl4444 Senior Member Join Date: Sep 2009 Posts: 153 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Need advice Well, apparently if you have equity it is pretty much impossible to get a HAMP modification because of the NPV. Did you ask the bank if they have any other options for you, perhaps one of their own in-house modification programs? The bank can't force you into foreclosure, because you always have the choice to sell before that happens. If you wait for them to foreclose you will lose a lot more of that equity than if you sell the home yourself.

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