Success w/Chase/Freddie Finally!!!

[grullagirl]

Sent back my signed final modification docs today.

Terms First 5 yrs 2%
Year 6 3%
Year 7 4%
Year 8 4.75%

Is HAMP so am supposed to get $1K per year principal paydown for five years if payment is paid on time.

Loan is pushed out to 40 years w/ a $400 no interest forebearance at the end or if we sell.

Loan was 30 years at 6.75% fixed.

We were late and could no longer make our existing mortgage payment. Total reduction in payment is about $1300 including the taxes and insurance.

We are very relieved and can make this mortgage payment and stay in our home.

Hope this helps anyone looking for a glimmer of hope. I guess bottom line, be patient, follow up w/ sending the information they ask for and make those follow up phone calls. I always tried to be pleasant with the various people I spoke w/ but have to admit I did get a little testy when I was getting the calls from Panama or wherever asking me to make a payment even though I was working through the modification process. Interesting those phone calls ceased after my third trial payment. Oh, I just made my 6th trial payment. We went ahead and did it even though we got the final paperwork and our first payment on the final modification program is 1/1/10.
I made my first phone call in November of 2008.

[BadBobMo]

w/ a $400 no interest forebearance at the end or if we sell.

That seems like a lot of work for that amount of money, is that's really a good number!

[Sunbeam]

Congratulations! More good news. Enjoy your success and hopefully the end of a lot of stress....yes $400 forebearance seems kind of funny. Why the $400?

[tricia88]

Congratulations on your successful mod! Now you can enjoy the holidays in peace.

[lkszip]

CONGRATULATIONS!! Yes, it is a glimmer of hope ....

[grullagirl]

Originally Posted by BadBobMo

That seems like a lot of work for that amount of money, is that's really a good number!

I think all that means is that when they took what I owed (loan balance) and got it down to "pretty close" to 31% of gross, they had to go down to the floor which is 2%. I would assume that when they plugged my numbers into the NPV calculator, this $400 figure came up that they had to tack onto the end.

Not sure what you mean when you say "that seems like a lot of work for that amount of $$$". I think it is, what it is.

I haven't had the time to run the whole thing through an amort. table calc to see how they came to that. I do know that I am dropping 4.75% in points on a sizeable amount of $$$ which will save considerably starting right now. I realize that we are still underwater, but I'll deal w/ that down the road. For now, barring any financial or medical disasters, we can afford the modified payment and for our situation it works.

When I have a chance I will figure out what our total cost of this loan over the term of the loan including what we paid prior to modification. I will then compare to my original TIL documents when I originated my last loan.

[grullagirl]

Originally Posted by Sunbeam

Congratulations! More good news. Enjoy your success and hopefully the end of a lot of stress....yes $400 forebearance seems kind of funny. Why the $400?

Thank you. See my post above for my understanding of the rationale of the $400.00 balloon or forebearance. I guess that would be the term. It is at no interest so........

[MyHAMP]

Originally Posted by grullagirl

Thank you. See my post above for my understanding of the rationale of the $400.00 balloon or forebearance. I guess that would be the term. It is at no interest so........

BTW, any additional principal you pay on a HAMP will be applied to the forbearance first - so if you want to get rid of that "burden"...hahaha...

[julier883]

Congratulations, hopefully many more of us will be able to experience the same joy.

[jedebelen]

through NACA? congratulations!!!

[caldwellb02]

I add my congratulations! It is not so often that we hear good news here. Happy Holidays!

[grullagirl]

Originally Posted by jedebelen

through NACA? congratulations!!!

No, we did the modification on our own working with Chase as our servicer.

[donnyfl]

Congrats grullagirl, I am still in the early stages of the application. How many months were you delinquent with your payments?

[grullagirl]

60 days on our loan payment but we got messed up with our insurance and the escrow account made it appear we were much later than that. Of course, in the trial phase you get further behind as your trial is less than the reg. mortg. pmt. so you keep going further into arrears.

[grullagirl]

Just an update:

We received the signed permanent final documents back from Chase. So, I guess this is really it!
We are a success story and we are now working with our HELOC w/ Chase. Incidentally, they called this week looking for a copy of the final modification documents, then realized they had them on file. I asked them what their modification would consist of; she replied "mirroring the modification of the first".

The upside to all of this, we are still tight but not struggling.
The downside to all of this, our credit is completely shot! Oh well, good credit and our "big dreams" got us into this.

I have always joked about my parents (depression children) having the first nickle they ever made. I guess it's not something to joke about.