Is the loan REALLY modified?

[Quatreenfants]

Hello Everyone-
We started the loan modification process with AHMSI Feb 2009 with the help of a wonderful HUD counselor. After many months (and many trees), we finally received the loan modification agreement on April 12th. Two questions:

1. It does not state anywhere on the agreement that this is a trial.
2. The new monthly amount actually INCREASED! It is basically the old monthly amount PLUS taxes PLUS insurance bringing it to a monthly total of $2,800!

I do not want to sign this agreement as I know I won't be able to maintain it. Does anyone have any experience with calling AHMSI and asking to modify the modification? I feel like I'm being set up for failure (and foreclosure).

Thanks,
4Enfants

[Evan Bedard]

I do not want to sign this agreement as I know I won't be able to maintain it. Does anyone have any experience with calling AHMSI and asking to modify the modification? I feel like I'm being set up for failure (and foreclosure).

Welcome and thank you for joining!

If it does not mention trial, forbearance, or HAMP it is more than likely a permanent in-house modification. You can turn it down and fight for something better, you do not have to accept these terms..

[Jedi Knight]

I have the same scenario. My current loan is interest only at 6% with a monthly payment of $2322, which is set to adjust in 2016 to a higher payment (to include principal I assume). Now AHMSI wants to offer me a 3 step interest traditional loan with interest rates starting at 3.08%, then 3.8%, capping off at 4.82%. My new payment with impounds is going up to $2683.85. Is this a good deal? I'm wondering why they didn't offer me the HAMP.....????? I think I can sustain this loan, but I'm wondering if I can get something better. I just don't want to have to start this dragged out process again!!!!

[Evan Bedard]

Now AHMSI wants to offer me a 3 step interest traditional loan with interest rates starting at 3.08%, then 3.8%, capping off at 4.82%. My new payment with impounds is going up to $2683.85. Is this a good deal? I'm wondering why they didn't offer me the HAMP.....?????

Welcome and thank you for joining the community.

That is actually an excellent modification you have been offered and mimics exactly what permanent HAMP modifications are offering. Even if you were approved for HAMP your payment would not get much better than this and pretty much all modifications end up at a 4.5%-5% fixed for the life of the loan. The only difference with HAMP is that many times they will start it off at 2% instead of 3%. If you can afford this mod than I would definitely suggest to go ahead and take it.

[Jedi Knight]

Welcome and thank you for joining the community.

That is actually an excellent modification you have been offered and mimics exactly what permanent HAMP modifications are offering. Even if you were approved for HAMP your payment would not get much better than this and pretty much all modifications end up at a 4.5%-5% fixed for the life of the loan. The only difference with HAMP is that many times they will start it off at 2% instead of 3%. If you can afford this mod than I would definitely suggest to go ahead and take it.

Thank you Evan that gives me comfort knowing that I'm not getting another crappy loan. I also went over the terms of the modification with a friend who is a real estate lawyer and she gave me the thumbs up. This is probably the best I'm gonna get and I really don't want to go through a short sale since my wife and I love where we live and put so much money into the house (fixing it up, new roof, paint, windows, doors, insulation, etc.) already. Aside from lowering the interest rate from 6% to 4.72%, I also got the loan from a 30 year to a 25 year.

[Jedi Knight]

Finally got the loan mod. Here is the a copy of the online statement screen for my account....

Current Loan Information Loan Information Loan Number: xxxxxxxxxx Property Address: xxxxxxxxxxxxx xxxxxxx Borrower: xxxxxxxxxx Co-Borrower Name: xxxxxxxxxxxxxxx General Loan Information Current Principal Balance $494,097.95 Current Interest Rate 2.900 % Loan Origination Date 11/17/2005 Original Loan Amount $465,500.00 First Payment Due Date 01/01/2006 Loan Type Conventional Maturity Date 12/2035 Payment Method Monthly Statement Payment Information Scheduled Payment Breakdown: Last Payment Breakdown: Next Payment Due 09/01/2010 Last Payment Received 07/13/2010 Principal & Interest $2,296.69 County Tax $363.85 Total Scheduled Payment * $2,660.54 Payments received more than 10 days after the payment due date may require a late charge of $114.83. * If Next Payment Due date is in the past, additional payments, charges and/or fees may be required to bring your loan current. Principal Received -$29,697.95 Interest Received $23,220.00 Escrow Received $6,268.95 Outstanding Fees: Late Charges $775.13 *Note: Payment breakdown may not include any applicable miscellaneous charges. For additional information, please visit the make a payment page. Year-To-Date Totals Principal -$29,697.95 Property Taxes $0.00 Interest $30,186.00 Hazard Insurance $0.00

[Evan Bedard]

Oh no problem, I went ahead and crossed that information out for you.

Congratulations I'm glad to see they came through with the modification! The terms are even a little better than expected

[Jedi Knight]

Oh no problem, I went ahead and crossed that information out for you.

Congratulations I'm glad to see they came through with the modification! The terms are even a little better than expected

Thank you Evan for taking care of that for me. Yes, I am stoked right now. All that hard work playing the game (faxing, refaxing, calling every week, stressing out, etc.) It was well worth the effort. I will be sure to stay on these boards and contribute in any way I can to also answer questions for others that are going through the same thing I did. I feel everyone should try to help each other out (if we can) because there is a light at the end of the tunnel. Thank you for creating this website also. I gathered some great information and met a lot of great people on here.

[Chris Sorensen]

It is so great to see first hand, a success story. Congratulations.

[MyHAMP]

Finally got the loan mod. Here is the a copy of the online statement screen for my account....

Congrats on your mod! That screen-shot tells me your servicer is SPS - that looks too familiar..

Keep a close eye on the account - they love messing up..

[Jedi Knight]

Congrats on your mod! That screen-shot tells me your servicer is SPS - that looks too familiar..

Keep a close eye on the account - they love messing up..

Thanks everyone for the congratulations. You bet I'll be keeping a close eye on my account. I'm not taking any chances on them messing up on my account.

[asley]

I never heard such thing, thanks for posting. keep it up.

[Jedi Knight]

Well, it's been over a year that AHMSI gave me an in house modification and I've decided to try again at the HAMP modification because of my wife's medical condition. Guess what? It worked. I'm in the first steps of the HAMP mod with the first three trial payments set up at $1540.53/mo. from Jan 2012 to March 2012! I am stoked right now. This couldn't be a better Christmas present for me and my family. My original payment prior to the mod was killing us at $2921.00 per month. Now we can breathe easier and pay off our bills! Thank you Lord!

[Cat Damiano]

Good for you Jedi, that is awesome news, Congratulations!! Have a wonderful holiday! Keep us posted on your progress throughout your trial.

[Jedi Knight]

Thank you Cat. You have yourself a great holiday also. The Key for me was: I went through an approved Making Home Affordable counselor. They have direct contacts with the servicers/bank personnel so you can skip the mumbo jumbo "customer service" reps that end up just stressing people out.

[Lori25]

That is fabulous!!! do you mind if I ask the name of your counselor?

[Jedi Knight]

That is fabulous!!! do you mind if I ask the name of your counselor?

Thank you Lori. My counselor is Anthony Trinh. He got me an answer right away from AHMSI through their "portal."Anthony Trinh│ Foreclosure Counselor (714) 408-9323│anthonyt@nhsoc.org

[Jedi Knight]

Update,I just got the modification docs for the HAMP approval (wife's medical condition). My new payments are $1540 for 5 years then they go up to approx $1850 for 19 years, then a balloon payment of $313,000 in the final year. Includes insurance and taxes. I believe with the HAMP terms, they apply a credit of $1000/year for the first five years of the HAMP payments. My Original loan was $475,000. Thank you Lord!