Ocwen Loan Modification Help

[3kiddad]

This site has been a blessing. I have recently missed the 3rd payment on my home due to a variety of circumstances. I planned on having no choice but to walk away from my home. This site has given me some hope.

Selling my home isn't an option, realators in my area say I owe 30,000+ more that they couls list it for and that even if they listed it homes in my heighborhood have been up for sale over a year so it's unlikely it would sell.

I would like to keep my home if possible. From what I've read my 1st step is the hardship letter along with attachments. I have created a letter based on your sample please read and advise...

_____________

To: Ocwen Loan Resolution Dept.
RE: Mortgage Modification Program (Loan # xxx)
I am writing this letter to explain my unfortunate set of circumstances that have caused me
to become delinquent on my mortgage. I have done everything in my power to make ends meet
but unfortunately I have fallen short and would like you to consider working with me to
modify my loan. My number one goal is to keep my home and I would really appreciate the
opportunity to do that.
Several factors lead up to and contributed to my delinquency. The primary reason is a
separation and pending divorce with my wife. This separation has led to child support and
alimony payments as well as loss of available time to work my second job. In addition the
rising costs of fuel and a 150+ mile daily commute to and from work has had a toll on my
finances. This has caused me to become further and further behind. Now, it’s to the point
where I cannot afford to pay what is owed to become current. It is my full intention to pay
what I owe.
My loan is set to readjust in December. I have looked into the possibility of selling my
home and realtors in the area tell me that my home value is over $30,000 less than what I
owe and that there have been no home sales in my area in over a year. I really would like to
keep my home if it were possible to modify the terms of my loan for more affordable fixed
monthly payments and somehow lower the delinquent amount owed. I also have past due property
taxes and would benefit from an escrow account if that can be established.
I truly hope that you will consider working with me and I am anxious to get this settled so
we all can move on.
Sincerely and Respectfully,
Erik Israelson
Loan # xxx
Address xxx
Phone: xxx

[Moe Bedard]

Erik,

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

Your letter looks good.......... what most investors are doing as part of a modification is to put the past due payments and fees back into the principle balance of the loan or at least some or all of them...........

Here are the contacts for Ocwen to get started............send the hardship letter in the body of an email to the Ombudsmen and also make contact with Ocwen to start the loan modification process..........they will let you know what they need............

Please keep us posted on your progress..........

Loan Resolution Dept.
1-877-596-8580
Fax# 1-407-737-5693

Early Intervention Dept.
1-800-446-2936



ombudsmanweb@ocwen.com

[3kiddad]

Thanks for the info... I faxed and e-mailed my hardship letter, income expense statement and w-2 today. I will let you know what happens.
Thanks again.

[3kiddad]

Update & Question?

I was initially told it would take 10 days to review my request... When I called back on the 11th day they now say it can take up to a month and a half and that it is still under review. Is the length of time an indication of anything?

Also when I call they always want me to make some kind of payment and my thought at this point is that money is tight and I don't want to until I know that I am able to keep this house, if I cannot keep it then I will need the money to move... my question is Will making some kind of payment make it anymore likely to be approved for a loan modification?

[Moe Bedard]

3kiddad,


Each investor is different.........so we really would not be able to answer the question if making a payment would better your modification chances..............

With the time frame........30-45 days is about right............for you it has been 2weeks..........
Keep checking at this contact number to check the status?

Loan Resolution Dept.
1-877-596-8580
Fax# 1-407-737-5693

[3kiddad]

Today is a great day!!!

I contacted Ocwen and they proposed a loan modification of reducing my interest rate from my varriable 8.5% to a fixed 4.6% for 3 years. This is great news however I was really hoping to get a fixed rate for the life of the loan because I don't know if I will be able to refi in 3 years and I know I won't be able to afford the payments when the interest rate goes back up again. I told them I would accept the offer but now I m wondering if I could have requested more... should/can I ask or should I be happy to have gotten what I did?

Thanks for everybody's help!

Erik

[RudyJay]

Well congratulations on your offer... all of us here have different circumstances... why don't you wait for your docs re read your offer and then decide what to do... 3 years could be alot.. your kids will be 3 years older... you could find a job that pays more to be able to refinance... you could reapply for another mod... whatever... as Moe would say as long as you can afford your mortgage...

[hollydo07]

your offer is great Ocwen offer to me only drop our interest less than a percent for the 3 yrs. good luck

[schwefls]

3 kiddad:

Great news, so happy for you.

[Moe Bedard]

Erik,


That is a great offer..............

Please let us know when you receive the docs and if you have any questions on them............