FHA Modification

[mrg01]

I have gotten a decision from my lender CalHFA. "Declined".

They said my income and expense was "fine" to qualify however because it took them 16 mos to give me a decision, the deferred amount (the amount I'm behind) grew too high under and because of that, I do not qualify under the HAMP program!

This is obscene.

They took this long to get me an answer all the while, the back payment was getting bigger and bigger. I have a journal of all the calls I made to them to get a status - almost weekly so that they wouldn't pull this kind of stunt. I've been wanting to get a decision so I can start my payment program.

I've been given about 21 days to get a sale date.


What they have done is unethical. I want to keep the home and make my payments affordable.

Please help! Is there a legal solution to this that I can turn to? What options do I have to keep the home?

Thank you for your help...

[davephx]

This is a new denial reason for what I recall... as long as when adding it to the prin balance you still have enough income for payments at 2%?40yrs.

With Fannie and I think overall HAMP there use to be requirement that if over $25,000 added had to first get resubordination of any 2nd since the added amount if above orig mortgage does not have a 1st position, probably 3rd if a 2nd.

But that was later changed to say just had to get Title Insurance agreement - have no idea what that means.

Than the $25,000 was raised to $50,000 of a rollup.

[davephx]

OOOPs forget my last post...

I missed your investor is a housing agency... they may have totally different investor rules... sigh... so many different rules.. and regular FHA is a mess to do.

But obviously it is their long delay that caused the problem so you are very rightfully upset and should protest.