Nationwide Advantage Help Please

[jennscrzy]

Hey everyone, my name is Jenn. I'm so glad I found this site, and have already learned a ton. Here is our story. We bought our first home last April of 07. Everything went pretty smoothly, although we were extremely confused by the selling of our loan, by the numbers etc.. We were so new to this and really trusted our agent and the broker..They assured us so often about the house and the loan itself, to where we finally felt comfortable, that is until after we signed the papers, but thats a different story.

In February 08 I lost my job. I was an independent contractor, and the company I worked for was losing work due to the economy so they let a bunch of us go, and of course we cant draw anything from them.

In May of 08, we were unable to pay our mortgage, and now we are as of Oct 1st, 6 months behind. We kept in constant contact with the mortgage company, sending in packages, and paycheck stubs etc. Finally in August they offered a forbearance agreement. Well here is my problem, this would not bring our loan current, so how am I to know if we did the forbearance that they wouldn't foreclose anyway? And if I had 1k bucks for the next 3 months, I wouldn't be behind in the first place!

In Aug/September by husbands hours were cut back he is in the recycled steel and aluminum bus.. and because the economy crapped out, so did their buss. but now they have picked up again and he is on a salary. I explained this to Nationwide and they didn't seem to care.. it was, make a payment by Sept 30 or lose your home.

I called Hope now, they guy basically said, ok, ill try and contact the lender, in the mean time, you try and add $600 to your income, and lower your grocery bill. Well we lowered almost all of our bills, but I have yet to find a job. Nobody is hiring, I have two kids I can not put in daycare, because the cost of that would be pointless.

We received a letter Saturday in the mail from Nationwide stating they had received our budget and financial form (I assume from Hope now b/c I have not sent another one) and to fax our paycheck stubs within 48 hours.. well the letter was dated 9/17 and the letter is post marked 9/23!!! I faxed them what they needed this morning, but who knows if they will accept it. What I have asked for is a loan modification so that we would be able to afford our home!

I understand we pay have to give up our home, a place we and our children love, that breaks my heart, but if thats what happens, then so be it, but We are TRYING everything we know to do, to work with Nationwide and it seems we are hitting a brick wall!

Thank you all for listening and I look forward to any advice anyone may have!

[schwefls]

Hi Jenn welcome to our forum:

I wanted to stop in say hello and assure you, you are not alone. Someone will be reaching out to you with some sound advice/suggestions. In the interim please hang in there and know that we are here for you.

[jennscrzy]

Originally Posted by schwefls

Hi Jenn welcome to our forum:

I wanted to stop in say hello and assure you, you are not alone. Someone will be reaching out to you with some sound advice/suggestions. In the interim please hang in there and know that we are here for you.

Thank you so very much Lynn, I really appreciate it!! and thats another thing I kept telling Nationwide.. I know we are not the only ones in this situation, there has to be some way to work this out! Im reading through a lot of success stories here, and they are giving me some hope!

[jennscrzy]

I also forgot to mention that we have an FHA insured mortgage, with a fixed rate..

[The Professor]

It is neither my goal or desire to suggest that you give up hope. Nevertheless, appropriate planning necessitates that you view all alternatives. I strongly recommend that you read some of the posts in the forum that discusses that alternative to gain an understanding of your rights and responsibilities.

Take care,

Daniel

[Moe Bedard]

Hi Jenn,

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

If the default amount were caught up are you able to afford your current payments moving forward?

[jennscrzy]

***, not really.. without me working we are shy around 250 bucks a month. We dont have any credit card debt etc. the only things we owe for are things like cable, phone, electric, groceries, we have two cars we are paying on, but one is under 1k bucks owed, and we have some furniture that we owe 800 on. we could probably squeeze by paying the current payment, it would be difficult, but we could possibly do it. I was hoping for a modification, even if its extending our loan to 45 years instead of 30, but I do not know that, that will work either (on the mortgage companies part) we may have to throw in the towel, I hope thats not the case, but it may be whats best if we cant gett he loan modified.

[Moe Bedard]

Jenn,


You will need to contact HUD's Loss Mitigation to see if FHA would be willing to modify the loan..............they offer Partial Claims to catch up the past due payments and fees, and also the forbearance which you are already being offered, but if you can't even afford the payments if that were to happen you will have to see if there is anything else they can do...........

HUD Loss Mitigation
1-888-297-8685

[jennscrzy]

Thank you ***. I will get on the phone with them first thing in the morning!! I do have another question though..If we were to have to give the house up, what do we need to do? is it best to do a short sale, deed lieu of foreclosure, or just let them foreclose? My husband and I are pretty much clueless to all of this, not ignorant, just clueless, so im trying to read all the information here to gain some insight. thanks once again!

[Moe Bedard]

That would depend on the state that you are located in and if you would be subject to the deficiencies that would result from each of these options.......

[jennscrzy]

that would be Tennessee, and the Hope now guy (Tom) said that if nationwide were to foreclose, if they couldnt sell the house for what we owed we would not be responsible for the rest of the amount..not sure if thats true or not.

[Moe Bedard]

Tennessee Foreclosure Law

Tennessee does allow for deficiency judgements............but if you hire a real estate agent well versed in short sale negotiation, they would be able to help you with that.

[jennscrzy]

Ok so I called Nationwide today, and spoke with Donna, she stated our package hasnt been reviewed yet.. today was the date our forbearance was suppose to be made, even though we didnt agree to it.
but I have an important question. Ok, so FHA says your payment can not be more than 31% of your income correct? is that net income or gross? The hope now guy, tom said we did not qualify for the new bill being passed on the 1st becuase our debt/income ratio was not over 31% but actually we are at 34%

[Moe Bedard]

jenn,

You would need to find an FHA approved lender in your area and go through the qualifying for the new loan.............if you are at 34% you should be o.k............try to find an approved lender in your are at www.fha.gov

[jennscrzy]

Thanks so much ***!

[jennscrzy]

Originally Posted by *** Damiano

Jenn,


You will need to contact HUD's Loss Mitigation to see if FHA would be willing to modify the loan..............they offer Partial Claims to catch up the past due payments and fees, and also the forbearance which you are already being offered, but if you can't even afford the payments if that were to happen you will have to see if there is anything else they can do...........

HUD Loss Mitigation
1-888-297-8685

well I called this number today, the guy was very nice and sent me to another company?that works through hopenow. The man at Hud loss mit said he thought we may qualify for the fhasecure, or a loan mod. The man I spoke with at hopenow (Bill) said he was putting my file as top priority since we are so far behind and he would have a counselor call within 48 hours (he was with a client at the time) if I did not hear from him, to call him back. I also called Nationwide once again and my case has been "assigned" to a Barb Hanson, of course she did not answer so I left a detailed message and my number for her to call me back..still no call from her of course. So basically I just sit and wait, but I want to thank *** for the numbers to call, hopefully this will have us moving in the right direction!

[jennscrzy]

Well as of right now I have not heard from Bill at hope now or from Nationwide, although I have called Nationwide once again and left a message.. Bill told me to call back tomorrow morning if I had not heard from him.. So, I hope to update tomorrow with a little hope. Does anyone thing the hope for homeowners program may help our situation?

[jennscrzy]

I am in tears right now I have no idea what to do. I tried calling hope now again, to speak with Bill, but apparently when you call them you are assigned to one company only, So I was directed to Tom, which is out of the office of course and has been no help whatsoever. I called Nationwide to see if they have reviewed our package again they said no and that they are not doing the help for homeowners program.. my case worker is out of town all week so I spoke with Laura who said Tom called her and said that we need to do a short sell or deed in lieu. I thought he was there to help us??????? Now i have no flippin clue what to do!

[jennscrzy]

anyone have any suggestions as to who I need to call, or the next step I should make as of now?

[jennscrzy]

I also wanted to mention I spoke with Debbie Cole through Auriton which is working with hope now. She basically said Tom was doing his job, and that he faxed Nationwide stating that we were trying to lower our expenses (our food expenses, guess my kids arent suppose to eat) and that if we could not lower our expenses and raise our income that our best option would be short sale. i dont see how this is our best option because no other options have been looked at or offered.

She also said that since we have a interest rate less than 8% and that the hope for homeowners interest rate will be anywhere between 7 1/2-91/2 the account will be escrowed and PMI added that she wasnt sure if this is the option we wanted to go for. truthfully, I have no idea. I know our interest rate would rise some, but what other option do we really have??

Since my lender isnt participating and they have not come out with a list of lenders who are participating I dont even know who to contact now or in what direction I should even go

[Moe Bedard]

Jenn,

If the investor on your loan is not willing to participate in the Hope for Homeowners program, than you will not be able to get the principle reduced...........you might still be able to qualify for the Partial Claim that I had mentioned above, to catch the payments up.........if the lender is not offering that option on your loan, then you need to call HUD and tell them that the loan servicer has not offered that option and that you have an FHA loan..............

the financials might show that you are not able to afford the payment that you had even if the default was caught up which is why they might be offering the short sale option...........


Find a HUD office near you here and contact them and tell them that the servicer is not working with you.........

HUD's Local Office Directory - HUD

[jennscrzy]

Thank you ***. I will call the local office first thing in the morning. Debbie from hopenow called me back this afternoon and stated she was faxing my information to nationwide once again, since we have lowered our expenses and see if they will do a loan mod. I will call the HUD office in the morning and see what they suggest.

[jennscrzy]

Does anyone know anything about Ginnie Mae (government National mortgage association)? I just found out that they are our investor (Nationwide Advantage is our mortgage company) Since they primarily work with FHA loans, I am wondering if contacting them may help me? Maybe instead of just talking to Nationwide, since all they have offered is a forbearance. Any info on them would be greatly appreciated.. I have read some things online about the company, but I am wondering mostly if I should contact them to see if they would be willing to modify our loan.

[Moe Bedard]

Welcome to Ginnie Mae