Home Loans and Support

Lot Loan Due in Full

Discussion in 'Wells Fargo Home Mortgage' started by SClotnightmare, Sep 26, 2010.

  1. SClotnightmare

    SClotnightmare LoanSafe Member

    Our originally financed lot loan with Wachovia was assumed by Wells Fargo in the last year. I had been calling Wachovia asking what I could do knowing that the balloon payment was due in Sept 2010 and they wouldn't talk with me until 90 days before maturity. So...here we are! We were part of an investment group in South Carolina (53 lot owners) and the developer never began the project in 2007 when the lots were purchased and is now claiming bankruptcy (which is crap since the company still develops under other names). We paid $220,000 for our lot and it is now worth $4,000 according to Wells Fargo's recent appraisal.

    We offered them $15,000 to walk away and were denied. They are now discussing putting us into a P/I loan which will double our mortgage payment AND requiring $15,000 in cash!?!

    Given that they are not giving lot loans anymore, we find ourselves dealing with the HELOC division and because this was an investment opportunity for us, they aren't showing any flexibility. They basically told my husband that they would not negotiate and that we owed them $197,000.

    I would beg and borrow to get them the cash if they will let us walk away. Anyone know of a good ratio or how to get them to agree? With this economy and given that we are BOTH small business owners with no dependable salaries, we can't promise another payment for 15 or 30 years on a lot that will never come close to coming back due to the negligence of this developer. It doesn't make sense.

    Any immediate advice would be very helpful. thx
  2. CIMpleBS

    CIMpleBS LoanSafe Member

    This is the story I have been looking for. I currently own a lot in The Reserve (SC, Pickens Country) with a similar Wells Fargo loan. If I can't get out from under this "not an investment", I'll never be able to retire. I'm looking for real lot owners that have, or are going through this. There must be 100's in this and like developments. What are the facts, what has acually happened, and who are the competent attorneys to utilize. I'll watch here as I continue to search. The Real Estate industry is about as rigged as the banking and Wall Street Game. I'm really tired of paying on both ends for these out of control economic sectors.
  3. SClotnightmare

    SClotnightmare LoanSafe Member

    Well, there are at least 50 of us. Some have gone into forclusure. WF came back and agreed to no money up front with a 15 year balloon amortized over 15 years principal and interest. The interest rate is like 9%. It adds $800 a month to the $1100 we were already paying. This will at least buy us some time to figure out which lawyer o hire so we can get the insurance money since the developer filed bankruptcy. What happened in your case? Who was the developer? Sorry to hear you are in the same boat.
  4. CIMpleBS

    CIMpleBS LoanSafe Member

    I bought our lot in 2005 through a 1031 exchange. Needless to say, I've already lost the equity from the profit on the original lot in North Georgia. I rolled the frist 36 month note just as the market was starting to look very bad, and I was glad I was able to get a loan, even at 8% (original was 5%). This was before Wells Fargo. Now I just want out, as I can't see putting another $65K into interest and club dues over the next 4 years, just to take a larger loss when I'm trying to retire. Is there a group, blog or some other communication vehicle with these other folks. I want to contact a competent attorney who has some real experience with this developer and the new Wells Fargo. It has been suggested that a class action might be in order as the Developer is selling lots with no club dues for 2-3 years, which puts anyone reselling at a huge disadvantage. Since they own the club, they can get away with it. Please advise any contact or organizational info you might have. thanks.
  5. NewYorkerinSC

    NewYorkerinSC LoanSafe Member

    I am in the same boat...still, with no resolution. Has anyone reached any favorable response or any response? My two lots are in Waterview Palms

Share This Page

COMPANY LINKS

TESTIMONIALS

"Hello Moe, I just wanted to tell you, your website has saved my life (literally), I stumbled on your site in the middle of losing my home, I was able to network with people going through the same thing as I am. I didn't feel alone anymore, I have tried to give back and counsel those that haven't walked in my shoes yet. We hear so much about what is wrong with America, I just wanted you to know, you are whats "right" with America."

Nina Mitchell
Loansafe & MoeSeo Inc. © 2014 | LoanSafe.org is not a bank, lender, mortgage broker, law firm or affiliated with the US Government. Privacy Policy