We were denied our initial loan mod after 4 payments due to the profit and loss being in the wrong format....3 times (including once signed by a CPA).
Our P and L was simple; my wife is a 1099 contract employee. Her only expenses were 3 classes at $300 a piece.
We currently owe ~$11,000 in arrears to bring it current. If we let it go to foreclosure, is it realistic to expect them to come after us for deficiency? The loan amount is $304k and the house is worth maybe $280k now. I could care less about our credit at this point, but I do not want a judgement for 30k against us. It would make more sense to try to scrape and pay the 11k if that would happen. We are in North Carolina and cannot seem to find the rules for mortgage lenders going after deficiency.
We are re-submitting a new loan mod (HAMP, same as last one) in hopes of a permanent fix, but I am not counting on one after all the reading on this forum. If nothing else, the reduced trial payment will help us stack money towards the 11k. Any suggestions?
PS - our income has improved to the point where we could probably maintain the original payment, just need the arrears caught up.