Modification with Wachovia heloc.

[acesfull]

Hi All

My friend has a mortgage with citi that I am working on getting mod for him. He also has a big heloc with Wachovia.
I want to know, should we work on getting the mod done first with citi then work on Wachovia? Or try both at the same time?
Thanks for any ideas and suggestions.

acesfull/loansafe success member

[Janeen]

Modifications, as you know, take quite a long time to get accomplished. I would submit them both to get the Wachovia started. But, most likely, Wachovia will want to wait to see the outcome of the 1st mtg. modification before they offer anything.

[acesfull]

Hi All
It looks like the mod with citi is going to be approved. Should know in 4-5 days. Just been informed.
Now i want to help friend work on Wachovia. He owes 70k. His rate is low not sure of the rate just yet, but only paying $237.00 per month. I believe this is an interest only loan? Being that W is the 2nd lien holder, would that make them more inclined to give a principle reduction? That is what we are going to propose to them. Its either that or they get zero.
Thanks,

acesfull/Loansafe success story

[gigi321]

Hi, I am in a similar situation. Let me know how Wachovia plays out for you. I spoke with them briefly (they couldn't take my info because my husband and I have to call together-we are both on the loan) and they said that right now they are only offering to reduce interest rates for 12-18 months if we qualify. Kind of discouraging! Just wondering what answer you got.

[lanas]

Is it possible to modify HELOC at all? I've never heard any stories (success or unsuccess) about it. And what exactly is the goal? Please share your experience.

[brokemama]

I have a HELOC/2nd with BofA. Mine is a floating rate and although not high, my income is way down. I applied for a mod on the phone and was given 2 years with 0 interest. A bit of a break while I concentrate on the first mortgage mod. The goal of course is to stay in the home and be able to afford the payments.

[snapple candy]

lanas, some have had some luck re-negotiating HELOCs and getting them reduced or written off. Some have to be able to buy it out for a small fee (heard 3K from some) and/or offering them 10 cnts on the dollar. I have a floating HELOC myself and payments are low for the most part. I am way underwater and HELOC not worth anything. My 1st and 2nd held by same lender. I am in mod process and turned down first mod offer as it wasnt good terms for me. I stopped making HELOC payment last month. My statement shows the missed payment but they did not charge me a late fee. I think you have to play hard ball with them to do a write off. I am ready to walk away myself, If they dont want to negotiate with me. Some of the 1st lenders need for 2nds to agree to modification. Really depends on your situation and how much underwater you are and who lenders are, as well as negotiator you get. Some call lenders and they are quite cooperative. Its worth a phone call to inquire and/or maybe a letter of inquiry.It is certainly worht running it up the flag.