Home Loans and Support

Ocwen In House Modification

Discussion in 'Loan Modification' started by bellajovi, Oct 5, 2012.

  1. bellajovi

    bellajovi LoanSafe Member

    New to the forum.

    1st mortgage with Ocwen.
    Balance $122,000
    @ 8.1% 24 years left
    monthly payment $1240 (includes taxes and insurance)

    2nd with GMAC
    Balance $30,350
    @ 10.35% 24 years left
    monthly payment $300

    Total Owed: $152,350
    Zillow Estimated Value: $119,000
    Tax Assessed: $139,000

    9-20-12 Applied for HAMP with Ocwen but was turned down because payment was already less than 25% of monthly gross of $5471. Received letter on 10/4/12.

    Logged into Ocwen account on 9/28/12 and noticed reduced payment amount to $794.96 due 12/1/2012. Had an email on the account which said "Congratulations, your application has been approved. You will receive the acceptance notification package within 30 days.<!-- mp_trans_disable_end -->" Hadn't received the HAMP denial letter yet so I emailed them questioning the reduced payment amount and due date. Received a letter (via email) on 10/1/12 stating that I was approved for an Owcen in House Modification and the loan was established on a forbearance (modification) plan with an initial payment in the amount of $794.96 due on Nov. 1, 2012. Further our website does not reflect the forbearance payments due on the loan. Therefore it reflects the post modification due date as December 1, 2012 and is correct. Called to confirm, which they did but they couldn't give me details of the offer.

    Can anyone offer a guess as to if this is a modification or just a forbearance? I know I need to wait to get the paperwork but I'm driving myself insane wondering if this offer of the $794.96 is just going to be a forebearance for a few months or a longer term. I have been on time with the loan since 2006 and just recently (May of this year) started delaying the payment till the end of the month-but never went past the next due date. Since I received the approval email(no details) I didn't pay the September payment so technically now it's past due. House is slightly underwater ($10-15,000).

    I am just so nervous that this might just be a short term (less than 6 months) and that my payment will increase to more than the $1240 after that. Which I won't be able to afford unless it's long term (even five years) when some of my other debt is paid done.

    The wording in the letter " In-House Modification and the loan was established on a forbearance (modification) plan"
    is confusing. Is it a modification or forbearance or combination?

  2. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    Welcome to the forum Bellajovi.

    This does sound like an in-house loan modification and not just a traditional forbearance period. In the agreement does it state they will review your account for a permanent modification once you make these three consecutive payments following 12/1? I believe the SAM in-house modification states that it is a forbearance period instead of a trial period prior to the permanent agreement. Here check out the following thread, many other members here have been approved for the program.

  3. bellajovi

    bellajovi LoanSafe Member

    Got home and the modification was in the mail. They offered a modification with new principal of $124,122.00 with a 3.60403% until 11/1/2017 then 4.5% until remainder of the loan which is the original maturity date of 7/1/36. Then the ballon payment at the end of the loan of approximately $66,000 but I calculated and if I pay an extra $100-200 a month then it will be under $15,000 at payoff. Which shouldn't be a problem to refinance, or pay more per month in a few years when the rest of my debt is paid off. The $794.96 includes my taxes and insurance- so the payment will only go up if they do. Once I make the initial "downpayment" on November 1st of $794.96 then make the December payment it states the Note will become contractually current.

    I was happily surprised with this. One of my main goals was to get the interest down the 8.1% I was paying was horrible but in 2006 when my husband went on permanent disability it was all they could offer with the 10% second mortgage. I was also shocked that I emailed the application on 9/20/12 and have received this offer by today 10/5/12. I was really freaking out reading some of the posts about how long modification approvals took and the run around some people got.

    We filed Chapter 7 Bankruptcy at the end of 2008 but continued to keep both mortgages current- with the original interest rates and payments it really didn't fit our budget but we didn't want to loose the house. Ended up racking up credit card debt because of it. Won't do it this time- goal is to pay down the debt and then the house.

    Good Luck to everyone who is trying to modify - hopefully you will have a good outcome.
  4. ocwenjennifer

    ocwenjennifer LoanSafe Member

    Was your bk discharded and they you kept current?
  5. Cat Damiano

    Cat Damiano Mortgage Wars

  6. bellajovi

    bellajovi LoanSafe Member

    Yes the bankruptcy was discharged in March 2009. We didn't reaffirm the mortgages just kept paying on time.
  7. GoldenSunshine

    GoldenSunshine LoanSafe Member

    Did you receive any communication from Ocwen between these 2 dates? Confirmation that they got your application? Anything?

    I am just wondering, because we faxed our application last Friday and have not anything from Ocwen yet. I know they said no news is good news, but I thought I read somewhere that they would confirm receipt!

    So happy things worked out for you - I am not good at the waiting game ;)
  8. westcafe

    westcafe LoanSafe Member

    Ocwen will confirm when they receive your paper work. Call them and ask. We didn't and just waited like you are doing and then when it was time for our scheduled appt. they said they didn't get the paper work. Call Call Call.....we learned this and after we faxed it again I called every day until they confirmed that they had it and then after 2 days called again to make sure that all the forms were correct. They don't list all the required paper work. We were told by HOPE to send copies of 2 bank statements (front & back of all pages), copies of last years taxes (signed), copy of your drivers license, 4506T, copy of utility bill showing proof of occupancy, 2 weeks pay stubs and hard ship letter. If you have any issues I suggest you contact HOPE they really helped us.
  9. GoldenSunshine

    GoldenSunshine LoanSafe Member

    We called them on Thursday [almost a week to the day that we faxed paperwork] and were told they did not receive our application, nor was it in our file. Ahhh, was not expecting that!

    We had a confirmation from the bank that it went through and everything, but they did not know what to tell us. The original fax was 92 pages long, so we frantically figured out how to create a PDF, worked on it all night and sent them the file 4 hours later - the next afternoon, we received confirmation that it was received! Woohoo!

    We are self-employed, so we sent personal and business bank statements, along with outgoing checks. I think the only thing we didn't send was our licenses, but I think we've sent sufficient info.

    Thanks for your input! It's a relief to now know they have it and it's under review :)
  10. westcafe

    westcafe LoanSafe Member

    I would call them back in a day or 2 to ask if they have all the required paper work. They won't call you and tell you that they don't have everything they need, they will deny you or wait too long to tell you and then you have to start over. Good luck....we just got our modification through them last week. We got a HAMP.
  11. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    Congratulations on the mod Bellajovi that is excellent news!
  12. KimberlyS

    KimberlyS LoanSafe Member

    I have the same message as in the original post, as of Wednesday. I'm eagerly awaiting details! At this point I don't know if I was approved for HAMP or for something else. Website says my next payment is due 1 Jan 2013, which is nice to see! So bellajovi are you permanently modified now?
  13. Evan Bedard

    Evan Bedard Call 1-800-779-4547 Loan Safe Mortgage

    That is awesome and it sounds like your first modified payment will be due on Jan 1st. Ocwen is one of the better lenders to work with when it comes to modifications and they offer some of the best in-house mods available!
  14. KimberlyS

    KimberlyS LoanSafe Member

    It is so nice to hear that about Ocwen! They've been great to work with. I can hardly wait to hear the details!!

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