GMAC loan mod. process

[l lee]

Hi Thanks for all the great info!
I am in the process of trying to get a loan mod on my 1st & 2nd loans, both with GMAC. I lost my job in Oct. and our home is
worth alot less that what we paid. We are not behind in our payments yet, but we are trying to be proactive. What is the
first step? I have tried to talk to gmac customer "no Servicer"
they said they can do nothing until 30 days late. Should I contact the 1-888-995-HOPE or Hope director Gary Newman @ GMAC first?
Thanks in advance for your help!

[Moe Bedard]

HI l lee,

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


Do you have any household income?
What is the interest rate at?
Is it fixed or adjustable?
If adjustable, when is it adjusting?
Are you paying interest only?
What are the loan amounts?

[l lee]

Thanks for the fast reply ***!

We do have my husbands income and my unemployment
for now.
Our 1st bal. is 403,456.00 5.5% fixed
Our Line of Credit (sorry not a 2nd) bal. is 100,450 1 point below prime, (I think)fixed payed 5.5% interest but adjust each month.

Right now we do not have to pay on the line of credit, with the relocation package my husband received from his co. they are paying interest only on the loan now, but that will end in 2 years
then I don't know how we will pay it.

Our biggest question is will they lower the principal, since houses
just like ours in our neighborhood are sitting vacant and are priced at about 250,000 less than we paid. We almost feel like
if they won't adjust the the principal we could buy one just like ours and save all that money and just let this house go to forclosure. We have great credit we have never been late on
loans before, we don't want to just walk away from our home, but we also would like to retire before we die and don't know how we can do that with our upside down loan.

Thanks in advance for your help,
L. Lee

[Moe Bedard]

You would need to contact GMAC with the principle question.....on occassion they have been offering a short refi...but it requires qualifying for a refi.......and investor approval.............but I am not sure about that when the second is a line of credit..........



If you plan on walking and both of you are on the current mortgage to the property............you would need to rent first until you are able to qualify for a new loan with a foreclosure.............which is anywhere from 3-5 yrs. depending on the loan type. Buying and Bailing is considered material misrepresentation and a form of mortgage fraud which is being closely monitored by the FBI.............


Call GMAC and see if you are eligible for a short refi.........
1-800-850-4622 ext. 2362609

[l lee]

Thanks for the info. ***,
I will contact GMAC and ask about the short refi.

Regards,
L. Lee

[l lee]

I just got off the phone with GMAC, regarding short refi, they said they can only do short refi with in-house loans, my inverster is Freddy Mac. Was told to call loss mitigation
and see if they can help. When I called them before they
said I need to go to Refi dept. Any idea what else I can
try??

[Moe Bedard]

If FreddieMac is your investor...........their modification is currently looking at modifying loans that are 90+ days in default............this is an investor decision and there isn't much to do about that until they change this criteria.........which they have not made any announcement regarding that yet.

FreddieMac has not offered principal reductions as a part of their modification programs..........
You were mentioning that a principal reduction is what you would need........we are not seeing NACA doing that either..........they have been lowering the rate to 4.5-6% and fixing it...........but if that isn't going to be able to help you........you would need to do what is best for you...........
what to do next is a personal decision that only you can make based on your situation...........NACA may be able to help with a modification......but they are not doing principal reductions.........

here is the link if you would like to look at the info..........
https://www.naca.com/refinance/refinanceTenStep.jsp