what shall I do -what is the best- need help

[tomser]

hello folks need some input or comment

I have my primary home and one rental home both same lender.

I sent the hardship letter to the Present of my lender,the top guy the highest.
He assigned my case to his special agent to handle.
I am applying for the HAMP to see if they approve after months of battles ,the min fields .

the president's office called in they need my rental agreement and income and expenses for the rental home otherwise they wont process
I told I am just for HAMP for my primary only not my rental and that the rental is on the market for sale.in order to save my primary - and that I am in the process of requesting for approval for the short sale.

he insist to see if I have tenant and have income . I told my wife handles the rental and I will check it and call back .

Here is my tipping point and need help--should I terminate the tenants and tell my lender I have no income and no rental agreement-or
I just fax my listing agreement with my real estate broker the rental is on the market saying nothing about my tenant-keeping my tenant .I think It is obvious If they know I have tenant and income they wont approve or HAMP-either expenses exceeding income or income exceeding expenses to include to my primary when they calculate for qualification It seems they are in deed try to approve HAMP. My mortgage is on time but this month I will default -- not able to pay the higher rate --just rest from 5 year interest only to much higher rate-$1800 to $2700.

i need some help

thank you

[caldwellb02]

tomser - I have a real hard time with anyone terminating - as you call it - their tenant to play this game. that tenant could be you or me or our kids one day.

That said, you may be able to get a temporary forbearance on your primary home while you await the sale of your rental.

I believe that being honest and upfront with the lender is the best way to go on this. Keep pushing but please don't terminate your renter. You might advise them that you are going through this and that you are trying to sell the house and that you are going to a month to month lease with the renter because of that. With that kind of info the renter may just find another place on their own.

[inmyview]

Does your tenant know you are trying to sell the house? If the tenant has been there for more than a year you will probably need to give at least 60 days notice and if you have a standing lease agreement you will need to abide by it and sell the property subject to tenant rights.

I would not kick the tenant out. Perhaps the tenant has a hardship and can not pay the full agreed amount?? Typically if the bank is agreeing to the short sale they dont really expect you to stay current.

Send in the lease agreement and watch your budget numbers. I would probably still show the other mortgage as an expense but not stay current on the loan - your credit will be screwed either way.

[imlars]

Originally Posted by caldwellb02

tomser - I have a real hard time with anyone terminating - as you call it - their tenant to play this game. that tenant could be you or me or our kids one day.

That said, you may be able to get a temporary forbearance on your primary home while you await the sale of your rental.

I believe that being honest and upfront with the lender is the best way to go on this. Keep pushing but please don't terminate your renter. You might advise them that you are going through this and that you are trying to sell the house and that you are going to a month to month lease with the renter because of that. With that kind of info the renter may just find another place on their own.

Chances are that you aren't getting enough rent from your tenant to cover the mortgages on the rental so what would it hurt to be straight with the lender on that point? Send the lender a copy of your listing agreement and I certainly hope you have made the tenant aware that the property is up for short sale because it would be pretty low of you to just pull the rug out from underneath them. If the rental has been on the market for awhile maybe you can do a deed in lieu.
The key is to have a small surplus each month, if you have a monthly deficit the lender is going to believe you can't afford to keep the property.