Heading into Short Sale with Chase (80)/ WAMU(Chase) HELOC 20 - Loan Modification Forum

caba7867 · 07-29-2009, 03:58 PM

Hi,

My mother-in-law purchased a home for my husband and myself and 3 children in June 2005 for 379K total. (Her primary residence is in TX). We refinanced 2x's to, for the most part, cover home expenses. The total owed now is 80%: 303,200 and 20% WAMU/ Chase HELOC: 101,800 = TOTAL owed $405K. The most recent area sales comps are coming in between 220 -250K! My mother-in-law is on the 1st loan and I am a co-borrower on the HELOC.

We are not late on payments, but have a year left on an arm loan, and then my mother-in-law will retire and income will be reduced. My 2nd son has special needs and we indicated all of this in our hardship letter, and we pay over 2200 a month in Childcare.

My question are: what are we up against w/ chase? liabilities for my mother-in-law as this is her 2nd home? Should we even try to pursue this, would foreclosure or a BK for my mother-in-law be better? I do not think they will modify as our total net monthly income combined right now is 14K!

Any suggestions, comments are helpful. Thank you.

Moe Bedard · 07-29-2009, 05:44 PM

Hello and thanks for joining LoanSafe.org and sharing your story!

I think you should definitely speak with a couple attorneys because she may be able to file for bankruptcy protection since it is a second home and a HELOC. But I have also seen successful loan modifications on 2nd homes and HELOCS so this is also possible.

An experienced attorney that is well versed in bankruptcy and loan modifications is what your most likely need.

However, trying to get help when you are not late is very hard and filing bankruptcy may not be advisable and maybe should be a last resort. Wow, you see this can be tricky and that is why having a good attorney is imperative.

I hope that helps!

shielded · 07-29-2009, 09:17 PM

Moe,

I would like to direct your attention to the thread below:

I hired an Attorney for Loan Mod and didn't do nothing

This is regarding Mr. Paiva.... Could you comment on my post.

~Ilya

caba7867 · 07-30-2009, 02:22 PM

Moe, For BK, since my mother-in-law lives in TX, wouldn't she need a BK lawyer from there? And a rec for a legitimate loan mod lawyer?

07-29-2009, 03:58 PM	#1 (permalink)
caba7867 Junior Member Join Date: Jun 2009 Posts: 2 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Heading into Short Sale with Chase (80)/ WAMU(Chase) HELOC 20 Hi, My mother-in-law purchased a home for my husband and myself and 3 children in June 2005 for 379K total. (Her primary residence is in TX). We refinanced 2x's to, for the most part, cover home expenses. The total owed now is 80%: 303,200 and 20% WAMU/ Chase HELOC: 101,800 = TOTAL owed $405K. The most recent area sales comps are coming in between 220 -250K! My mother-in-law is on the 1st loan and I am a co-borrower on the HELOC. We are not late on payments, but have a year left on an arm loan, and then my mother-in-law will retire and income will be reduced. My 2nd son has special needs and we indicated all of this in our hardship letter, and we pay over 2200 a month in Childcare. My question are: what are we up against w/ chase? liabilities for my mother-in-law as this is her 2nd home? Should we even try to pursue this, would foreclosure or a BK for my mother-in-law be better? I do not think they will modify as our total net monthly income combined right now is 14K! Any suggestions, comments are helpful. Thank you.

07-29-2009, 05:44 PM	#2 (permalink)
Moe Bedard Founder Join Date: Aug 2007 Location: Southern California Posts: 16,931 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Heading into Short Sale with Chase (80)/ WAMU(Chase) HELOC 20 Hello and thanks for joining LoanSafe.org and sharing your story! I think you should definitely speak with a couple attorneys because she may be able to file for bankruptcy protection since it is a second home and a HELOC. But I have also seen successful loan modifications on 2nd homes and HELOCS so this is also possible. An experienced attorney that is well versed in bankruptcy and loan modifications is what your most likely need. However, trying to get help when you are not late is very hard and filing bankruptcy may not be advisable and maybe should be a last resort. Wow, you see this can be tricky and that is why having a good attorney is imperative. I hope that helps! __________________ Moe Bedard Founder LoanSafe.org "America's #1 Home Loan Forum" LoanWorkout.org "America's # Loan Modification Blog" Get My FREE Loan Modification E-Book \| Please donate to LoanSafe.org \| Loan Modification Training For Attorneys \| Rate Your Mortgage Servicer The comments by me and the materials available at this web site are for informational purposes only and not for the purpose of providing legal advice. Most of the information you find here is easily available on the internet. You should contact your attorney to obtain advice with respect to any particular issue or problem. The opinions expressed at or through this site are the opinions of the individual author and may not reflect the opinions of the firm or any individual attorney. Please Read our Privacy Policy and Legal Disclaimer Here.

07-29-2009, 09:17 PM	#3 (permalink)
shielded Junior Member Join Date: Jan 2009 Posts: 4 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Heading into Short Sale with Chase (80)/ WAMU(Chase) HELOC 20 Moe, I would like to direct your attention to the thread below: I hired an Attorney for Loan Mod and didn't do nothing This is regarding Mr. Paiva.... Could you comment on my post. ~Ilya

07-30-2009, 02:22 PM	#4 (permalink)
caba7867 Junior Member Join Date: Jun 2009 Posts: 2 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Heading into Short Sale with Chase (80)/ WAMU(Chase) HELOC 20 Moe, For BK, since my mother-in-law lives in TX, wouldn't she need a BK lawyer from there? And a rec for a legitimate loan mod lawyer?

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