Trying to surrender home, Lenders ignoring atty

[Froggirl]

Hi, I'm new here.
We are in the process of working through an attorney to surrender our former home in TN to the lenders. We live in KS now and we carried the house on the market for nearly a year with no buyers. There are 2 lenders: 1st is Countrywide, 2nd is Regions Bank. The house is worth maybe $135K and I owe Countrywide $124,000 and Regions $45,000. No word from the attorney yet on any agreements to DIL, they seem to be ignoring him but they aren't calling us anymore either. Foreclosure is supposed to be started by Countrywide on 8/16, Regions on 8/30.

When we decided to hire the attorney and try a DIL a couple months ago, we pulled out the documents and found that the Countrywide mortgage application shows we were making way more money than we were, and even shows we were insolvent at the time the loan was closed = $67,000 in CC debt and NO assets (even though we owned a house in KC at the time). The broker plugged in the information to get them approved. We did not sign or initial the page of the application stating the income, it says "taken over the phone by XXXXX". The application to Regions is totally different and shows on the note a prior obligation of $65,000 (?) The appraisal came in at $140K so I have no idea how this was accomplished. Neither bank questioned these apps or the info given, we never provided any TR's or paystubs.

Our fault we didn't look over the apps, but they were given to my husband the day of closing - I was still in KS and faxed my side of the docs. We were moving our family across the country, things were unclear, but
we needed a house asap, etc. Not until just recently did I even read the
applications, which was stupid, but it's the facts. We trusted the broker
because she'd handled a lot of RE purchases for my SIL.

After the loans closed the broker called me to say congratulations, and
explained she was due another 1% fee for getting the deal done (which I paid her directly by personal check - she couldn't report it or something). The mortgages were approved so we were grateful.

I think we will end up filing bankruptcy when this is all said and done, from the moving and carrying houses for 2 years it's dug a huge financial hole for us. Although we have our dream situation now with our current home and jobs, we are worried about the outcome of all this.

Just looking for thoughts, opinions.
Thanks,

[Dan Bailey]

Froggirl,
Welcome to the forum and thanks for joining! ***, Moe or Andrew will be by to answer your specific questions soon. Sounds like there are some violations on your mortgage...alot of us have found out about those here... Good luck!

[Moe Bedard]

Hi Froggirl,


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

Have your attorney call into either of these numbers and see if they can tell you what the status is on your DIL, also you should be able to check your status online as well..........

1-800-405-0078
1-800-601-2522


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

[Froggirl]

Thank you for the info. I did look up our loan on the Countrywide website and there isn't any information under "workout" section. It just asked me to select a response if I had made the 3 past due payments, and then just showed regular loan information. The only thing I can see that's changed is our attorney's number has replaced our home phone number in the profile section.

I'm pretty frustrated because I don't think they are even acknowledging that we are trying to surrender the house. Are they just waiting to see if we'll pay before they will talk to the attorney?

[Moe Bedard]

Call the numbers to find out at what process the file is in.............if it is not showing online, they might not have the DIL paperwork.