New to all of this

[janie]

I don't eve know where to start, though I'm sure my story is a common one. We bought right outside of NYC in 2004, and now, needless to say, we are under water. To boot, my husband lost his job 6 months ago. We applied for a loan modification, and it took 4 months to get approved. Then (try to follow this one!) because we had kept up with our payments while we waited to be approved, they decided we had "satisfied the program" before we even had one lowered payment. We are now 2 months behind,and feel lost. We have enough money to stay in this house for another 7 months, but REALLY don't want to spend every last dime on this house.Thinking about a short sale, feeling very overwhelmed. Anyone every done one in NY?

[Evan Bedard]

Welcome to the forum Janie.

Did you ever receive an agreement from Wells Fargo when you were approved for the modification? It is not true that you must be delinquent on your mortgage to qualify for a mod.. Is your husband still unemployed and do you have any income coming in at this time?

I'm not sure if you are aware of the HAMP program but Wells Fargo is going to review your loan for this program when you first apply for a loan mod. For the Home Affordable Modification Program (HAMP) your mortgage payment must be greater than 31% of your gross monthly income to qualify for this program.

Eligibility Requirements for HAMP:

-Be the owner-occupant of a one- to four-unit home.
-Have an unpaid principal balance that is equal to or less than:
o 1 Unit: $729,750
o 2 Units: $934,200
o 3 Units: $1,129,250
o 4 Units: $1,403,400
-Have a first lien mortgage that was originated on or before January 1, 2009.
-Have a monthly mortgage payment (including taxes, insurance, and home owners association dues) greater than 31% of your monthly gross (pre-tax) income.
-Have a mortgage payment that is not affordable due to a financial hardship that can be documented.

If you do not meet these guidelines it is important you tell them you want to go for a regular in-house modification so you do not waste months of your time. For an in-house modification the requirements above will not apply as almost any type of mortgage or loan amount can qualify, even if your payment is below 31% of your gross monthly income. Please feel free to join in on other threads as most members here are homeowners like yourself pursuing some type of loan workout.

[janie]

is this going to be a problem in NY? we have almost no income, hubby lost his job, but we have a fair amount in savings....

[Jeffrey L. Shurtliff]

I save my money in my matress. That is the best bank. LOL

[Evan Bedard]

is this going to be a problem in NY? we have almost no income, hubby lost his job, but we have a fair amount in savings....

Do you have any income coming in right now? If not you may want to apply for a forbearance which will give you about 6 months of reduced payments to allow time to increase your earnings. Also if you have a significant amount of money in the bank (for ex 25k+) you ay want to consider moving the money because the bank is going to request bank statements and they are not going to offer assistance if you have that kind of money saved up..