Advice needed: 1st and 2nd stopped paying

[hollywoodinjax]

I have read this site for hours and hours and the more I read, the more I am unsure the right direction.
Goal:
Get the second dissolved or settle at 10% or less
Get the Principle reduced on the 1^st

Background:
Property is in Florida
Property was bought at 600,000 in 2007.
1^st mortgage was at 420,000 and 2nd was 140,000, both through Chase

Present:
Property is valued at 250,000

I have sent in many Mod requests for 3+ years since I had Twins. The expenses of the twins has depleted all my reserves and now I have no savings at all..
I have been denied over and over again. I finally stopped paying both 1^st and 2^nd 3 months back…

Now chase seams much more incline to help. I have submitted hardship paperwork for both 1^st and 2^nd.
The 1^st denied me again a month ago (not enough documents), so I sent is all in again.. (HAMPster wheel).
The 2^nd I waited and sent in a settlement letter last month for 14,000. They denied and did not even counter offer! The lady said her management did no see a hardship and I was not finically distressed..

My situation is a bit different and I have 3 rental properties
The 3 properties are also upside down, the income from the rent just barely covers the expenses.
So the ROI on the rentals is breakeven or maybe a little bit of a negative.
But they are upside down, so not like I can sell them…

On the 1^st mortgage mod, chase seems to be asking a lot of questions about the rent and asking me to provide proof to them I am getting income in my bank statements, etc.. requiring me to fax in bank statements circling the deposit.
What are they getting at?
What are they trying to determine?
What is the best way to present rental properties to the bank when trying to get a mod? Should they show as a positive ROI, or should I make it appear as a negative?


On the 2^nd, I don’t know where to go from here.. they keep telling me to pay and stay under the 90 days otherwise it will be moved out of the lost mitigation on to the other department and the legal course will happen… and I will not be able to negotiation once it get to that stage.
Is that true? should I pay until I get another answer on the 1^st?

General questions for both:
Since in Florida, should I be worried of recourse?
If I end up SS, as I read it sounds as if I will still be responsible for the 2^nd, right?
Is bankruptcy better to do before of after the foreclosure? Keep seeing different answers.

[hollywoodinjax]

i am working on a Mod with my 1st.
My situation is a bit different and I have 3 rental properties
The 3 properties are also upside down, the income from the rent just barely covers the expenses.
So the ROI on the rentals is breakeven or maybe a little bit of a negative.
But they are upside down, so not like I can sell them…

On the 1^st mortgage mod, chase seems to be asking a lot of questions about the rent and asking me to provide proof to them I am getting income in my bank statements, etc.. requiring me to fax in bank statements circling the deposit.
What are they getting at?
What are they trying to determine?
What is the best way to present rental properties to the bank when trying to get a mod? Should they show as a positive ROI, or should I make it appear as a negative?

[Evan Bedard]

On the 1^st mortgage mod, chase seems to be asking a lot of questions about the rent and asking me to provide proof to them I am getting income in my bank statements, etc.. requiring me to fax in bank statements circling the deposit.
What are they getting at?
What are they trying to determine?
What is the best way to present rental properties to the bank when trying to get a mod? Should they show as a positive ROI, or should I make it appear as a negative?

Are you currently trying to modify the 1st mortgage on your primary residence? The bank wants to see proof of rental income from all properties that are being occupied either through deposits in your bank account and even cancelled checks from the tenants. They need this information to determine exactly how much you are bringing home each month. Since you are not enduring a major loss on the properties for rent each month that is a good sign and I would supply them with exactly how much you are making from each one.

[hollywoodinjax]

yea 1st is a mod, so if i was lossing hundered a month from a rental, what would they do? it is like a business, the rent income can be good or bad from month to month.
should i show all expenses like repairs, lawn, HOAs, etc.. same stuff i do for taxes each year?
then iw will be a large loss every month.
is that a bad idea?

[hollywoodinjax]

i am working on a Mod with my 1st.
My situation is a bit different and I have 3 rental properties
The 3 properties are also upside down, the income from the rent just barely covers the expenses.
So the ROI on the rentals is breakeven or maybe a little bit of a negative.
But they are upside down, so not like I can sell them…

On the 1^st mortgage mod, chase seems to be asking a lot of questions about the rent and asking me to provide proof to them I am getting income in my bank statements, etc.. requiring me to fax in bank statements circling the deposit.
What are they getting at?
What are they trying to determine?
What is the best way to present rental properties to the bank when trying to get a mod? Should they show as a positive ROI, or should I make it appear as a negative?

[Evan Bedard]

From my understanding if you are trying to modify your primary residence and have multiple investment properties that are being rented out, it would be best to show that you are just about breaking even each month where the rent covers most/if not all of the monthly expenses on the properties. Here you may also want to post your situation in the thread below and they may be able to give you a better idea of what to do here..

Find out Now If you even QUALIFY for a Loan Workout Solution. Post Your Situation

[hollywoodinjax]

thank you.. the Loan Mitigation lady just submitted to the Under writer... lets see what happens..

[Evan Bedard]

Thanks for the update that is good news your file has made it to underwriting. Good luck and please keep us posted on your progress!

[hollywoodinjax]

Thanks for the update that is good news your file has made it to underwriting. Good luck and please keep us posted on your progress!

well, not so fast... I have given chase (chase my tail) the Lease agreements, and also the Property management’s Monthly statements that show deposits to the management company and deposits back to me, then my bank statements to show that deposit. Now the Underwriter is now requesting copies of the checks given from the tenants to the management company.
With all the other documentation I would expect they should be good..
what is it the Underwrite wants to confirm? is it they think there is More money being deposited, or maybe less money?
i dont get it, these are other properties, not the one i am Moding.

[Evan Bedard]

With all the other documentation I would expect they should be good..
what is it the Underwrite wants to confirm? is it they think there is More money being deposited, or maybe less money?
i dont get it, these are other properties, not the one i am Moding.

That information should be more than suffice. Try contacting the executive's office to see if they can help you resolve this issue as the underwriter already has all the info needed.

Jamie Dimon Chairman & Ceo
Phone: 212-270-1111
Fax : 212-270-1121
E-Mail Address: jamie.dimon@jpmchase.com

Executive Team:
executive.office@chase.com

Penney Davis, Executive Resolution Team
904-462-2287
alsebre.davis@chase.com