1st and 2nd with Countrywide--Loan mod in process

[Handan]

Hello Everyone!
I am new to the site and have been searching through forums looking for guidance-I have found SO much useful info. You guys are all GREAT!!
I need a little bit of guidance as far as negotiating the modification terms. I have not heard back from countrywide with terms at all yet, but want to be ready with answers and ask for ideal terms when they do call back. (if they ever)

My 1st is serviced by CW and backed by IMPAC 5yr option arm and my 2nd is CW backed by CW - a HELOC.
I have not found much information about IMPAC and how much they are willing to negotiate with the homeowners. Has anyone had experience with them?
Do you think it would be possible to lower the principle balance of the 1st, convert it to a fixed 30-40yr and combine the 2nd on there as well and ultimately have a lower pmt than now? Is that realistic??? I understand that it is impossible to answer this accurately, I just need to gage whats realistic and whats not.

My initial instinct is to be aggresive, yet, I don't want to blow my chances.

Any help/advice is greatly appreciated.

Thanks in advance,
HDS

[Moe Bedard]

Hi HDS,

Welcome to the forum and thank you for joining..............


The modification approval will be up to the investor..............you would need to ask Countrywide what options the investor has and go from there............we have not seen any principle reductions on first liens.........the investors are not allowing them as part of modifying a loan.
They are also looking at what caused the hardship..........if the hardship is over........and that you have some disposable income left at the end of the month after paying expenses.......with CW you can monitor the progress online on your account..............and also call in to see if there are any updates on your file.........
1-800-669-6650

[Handan]

Hi ***,
Thanks for the quick response. I will keep you posted on what happens.

HDS

[Handan]

Hi everyone,
Its been a while since I've posted any updates. I have been calling CW every single day since the beginning of the month.
I finally got a hold of my negotiator Linda today. She was very nice and somewhat understanding.
With everything said and done, she offered:
5yr interest only @4% on my first (until 2013), which was originally a 5 yr interest only at 6.875% due to reset in 06/2011. She did not offer anything on my second and I requested for her to look into it again.
My question is: They can do better than that right? I understand its up to the investor, which in my case is Impac funding. I have seen lower rates and longer fixed terms...What options do I have? I asked this same question to my negotiator, but she said thats all there was.
Although this lowered rate does help me in the short term, I still need a lower pmt/mo.
Any guidance is very much apreciated. Thanks in advance.

[Moe Bedard]

If you would need a payment lower than a 4% interest only, I am not sure that you will be able to get much lower than that with it remaining interest only...........the offers that you are seeing are coming from all different investors and also have to do with the type of loans that they are to begin with and what the investor is willing to do. If you are looking for a fixed interest rate.........then you may want to try going through NACA if this is your principle residence and see if they can help you with the first................
click on the link for the info.......
https://www.naca.com/refinance/refinanceTenStep.jsp

[Handan]

Thanks ***!
I'm sure you hear this all the time, but, just wanted to let you know that this website/forum has kept me sane and focused. I have not posted much on the boards, but am on here ALL the time seeking guidance. I just wanted to thank EVERYONE!
Is NACA the only institution that can negotiate a fixed interest rate for the life of the loan? Do I stand a chance in negotiating this on my own?

Thanks again.

[Moe Bedard]

I am sure that they are not the only ones.......but as a nonprofit I would have to say that they are one of the most effective I have seen............and they have been successful with most servicers and investors and they have been around for 20 years.........some of the members are going through the process both with NACA and by themselves to see which outcome is the best for them.........so you may want to try that approach as it won't cost you anything to try..............NACA services are for free.

[Handan]

I will give them a call. Thanks again.

[Handan]

UPDATE:

I have decided to go with the proposed terms from CW.
3.875% for 5yrs. My payments go from 2550.00/mo to 1418/mo.
I just need this quick fix for now as I have a child on the way, and I couldn't have done it without you guys!
Thank you so much everyone, especially ***.
Unfortunately, they couldn't do anything about my 2nd as of yet, but hopefully they can help there as well. I'll be okay for now.
Just for the record,
The entire process took a little over 6 weeks and I think the key is to call EVERY SINGLE DAY and demand answers and/or status updates.
I received my documents today and have already reviewed and signed and notorized, ready to go out tomorrow.
**quick question: I live in California and when I went to the notary, he signed an aknowlegement sheet rather than my actual loan document...Any idea why? Is this a common occurance? He mentioned that the document was missing one line: "something of penalty and purjury...?" and therefore, he couldn't sign the actual document. Any thoughts?

Thanks,

[Moe Bedard]

Handan,

Congratulations!!!


On the notory issue, you may want to ask CW about that when you contact them to see if they received your docs back o.k. and how long it will take to update your account to reflect new payments.

[melanieg]

Congratualtions on getting your 1st modified! Especially in that short amount of time! I see that you also have a 2nd w/CW with the investor as CW. I have also been working with CW on my 2nd with investor CW, and just got some terms that are being recommended - 7% fixed - down from 11.875%. Still high in my opinion, and I may ask for it to be lowered, but we'll see. It's not approved yet, but just wanted to let you know. I know all the information you get is invaluable when working with them! Good luck to you, and again, Congrats!!

[Handan]

Melanieg-Thanks! Good luck on your 2nd!

I will keep you guys posted on what happens with my 2nd.

HDS

[MPDano]

Yup, had some other stuff Notarized here in San Diego and they did the same thing (Acknowledge Sheet). All was good, but a quick call to CW will verify that. Just to be sure and give peace of mind.

[MPDano]

Handan,

I was wondering if CW charged you a fee to Modify your loan?

[notasmartowner]

MPDANO.....


looks like you also have a 1st lien with IMPAC (investor) and CW (servicer) as it is in my case also. They are charging me to do my LOAN MOD for $1995.00..

My question and concerns now is that if i had went straight with CW, would I save the $1995.00??

[Handan]

Sorry for the delayed response...
CW did not charge me a fee for the mod.
Impac on the other hand, tried to charge me 1995.00 as well...I just went with CW.