Drowning in LV

[LVsucks]

Hello all, first post...let me first say thanks for providing a great source of info with this site .

I've seen some ppl w/ Wells but nobody with CU? Wondering how CU handles defaults compared w/ other banks. Seems like Country Wide, for example, is really slow leaving more time for homeowners figure something out / milk the cow etc... Here's the LVsucks scenario:

1st with WF bal = 208k not a problem (yet)
2nd with CU bal = 130k problem
comps as of today = 219k (identical house asking price)
primary residence
no other property

So total 1st+2nd = 338k means I'm Under water by 119k

The second was added a yr (or 2) after the 1st, not part of original purchase. It actually started as a Countrywide HELOC and we moved it to CU as 15 yr fixed second with cash out so I'm not sure if CU actually hold the note or CW has anything to do with it anymore? Due to a reduction in income I can't make pmts on my 2nd. I haven't paid the second for 5 months now, got the "notice prior to acceleration of default" in Jan but I haven't heard from them since. I'm not skipping cause I lost equity, I just need to get through the recession like everyone else who's suffered financial set backs. I'm current on the 1st and plan to keep it that way. Wouldn't CU need to spend 208k to buy the first so they can foreclose in hopes of collecting 130k? Hmm, what do you think their next move is? How long can I keep them at bay or dare i say get rid of the 2nd all together as I've been reading on other posts?

The Wells 1st is conventional 6.25% 30yr fixed w/ 80% financed and 20% down pmt (bought 2003), no PMI. actually a really good mortgage i think but if my Finances don't get better soon I'm gonna face another problem with the 1st. I'll cross that bridge when i get there. If I do get there, with "the right income", should I try to get a loan mod or just keep it as is?

BTW the best offer from CU was "pay us $50 and you can skip 2 pmts" (added to end of loan) then continue as usual. I said that's nice but I don't think it's going to solve my problem, what else can you do? "That's it, that's the only option" That conversation was in December.

I'm planning to meet with the NACA and then talk to an attorney but would like some insight from anyone else getting porked by the economy and the crappy market in LV. How long before we're on the street? For real I mean, yah I know 120 days bla bla bla. anyone actually been through foreclosure and evicted in LV? Depends on the bank? Something tells me Wells will foreclose right away but CU may be willing to negotiate.

[Dan Bailey]

LVsucks,
Glad you found the forum and posted.
"Something tells me Wells will foreclose right away but CU may be willing to negotiate."

Actually, although the first (WF) would have first dibs at foreclosure, it may end up being harder to deal with the small credit union. Credit Unions can end up being pretty hard nosed, as they dont have the backing and govt bailout funds coming to them like large banks do.

You usually need to sart dealing with the firt mortgage holder, first. ..so it may be beneficial for you to start the process with both at this time.

[LVsucks]

Thanks for that Dan, I guess I was wrong again...

[LVsucks]

I spoke with someone at NACA and they said they would not be able to help me with the 2nd, only the 1st. I'm still going to attend the workshop but for now I'm still looking for an attorney in Nevada.

Can anyone recommend a Las Vegas Real Estate Attorney, Foreclosure Attorney or whatever is the correct type of Attorney with experience in all of this?

[Moe Bedard]

We can not refer you to a specific attorney on the forum..........you would need to do a search at the

SBN | LRIS


or


National Association of Consumer Advocates – Consumer Protection Advocates and Attorneys

[LVsucks]

I'm signed up with NACA now. The attourney I spoke to was no help. I was prepared for a few months of no work but this recession is longer than I expected and I missed the 1st mortgage payment as of June.

Now I'm really worried (paranoid and suspicious even) because according to the 'friendly' letter from Wells Fargo they want me to contact them "We may be able to help" it says. The HUD brochure enclosed with the letter also says

"Special forebearance. Your lender may be able to arrange a repayment plan based on your financial situation. Your lender may even provide for a temporary reduction os suspension of your payments. You may qualify for this if you have recently lost your job or your source of income or if you had an unexpected increase in living expenses. You must furnish information to your lender to show that you would be able to meet the requirements of the new payment plan"

If they find out I'm not working won't they choose to forclose since I can't make the payment? NACA says loan servicers can provide a forebearance for 6 months but that is up to the loan servicer (Wells Fargo) to determine. How do I play this game? I believe the people working for WF on the other end of the phone have a script and certain answers will promt certain actions. I say this because In January I fell behind 2 weeks and when I spoke to WF I told them I had a reduction of income and they offered me a rediculous repayment plan which would have cost far more than just sending the total balance due so I paid the 2 weeks late plus that months payment and have managed to stay current untill now. They didn't offer me a forebearance then.

I'm looking to buy more time. 6 months is good but is WF really going to do this? What if 6 months is not enough? After all, it's already been 8 months for me. Had I done this before my time would be up already. One NACA counselor told me the bank "could choose to extend the forebearance after the 6 months" but I thought this was a one time offer with 6 months maximum.

Is it better to wait as long as possible before asking for the forebearance, effectively getting X months (some people go 18 months or more) plus the 6 months on top of that or should I do it now?

If anyone else has done a forebearance with WF I'd really like to know how to approach them and if it's for real.

[LVsucks]

Moe, in another post you said "One of the reasons for getting denied is having equity and insufficient income."

So this means nobody will get a forbearance until they can make some income? Has anyone got a 6 month forbearance from WF? ANYBODY?

"If they will loose more by working with you as opposed to foreclosing and getting that equity, they will foreclose most all of the time."

So how do I calculate the bank's cost to foreclose? If I have like 10k equity am I screwed? I'd like to know now so I can just shoot myself and get it all over with.

[Moe Bedard]

Sorry I missed this.

Is it better to wait as long as possible before asking for the forbearance, effectively getting X months (some people go 18 months or more) plus the 6 months on top of that or should I do it now?

That's really a personal call because there are no guarantees on how long you can go and it really is just gambling with time.

If anyone else has done a forbearance with WF I'd really like to know how to approach them and if it's for real.

It's very real, just hard to get.

Moe, in another post you said "One of the reasons for getting denied is having equity and insufficient income."

So this means nobody will get a forbearance until they can make some income? Has anyone got a 6 month forbearance from WF? ANYBODY?

When I said this I was referring to a loan modification. A forbearance can be grated when there is no income and I have seen them.

It costs the lender approx. $30-60,000 to foreclose on a home (depending on the state). You should be fine.

[shielded]

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

[LVsucks]

Originally Posted by Moe Bedard

A forbearance can be grated when there is no income and I have seen them.

It costs the lender approx. $30-60,000 to foreclose on a home (depending on the state). You should be fine.

Moe, This is the first glimmer of hope I have heard (for my situation), Thank you so much for responding to my questions. I am now at the mercy of WF.

And a special thanks to shielded for hijacking my thread! ...and i thought nobody was reading this.




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