BOA NIGHTMARE LOAN MOD PARTIAL CLAIM HUD MORTGAGE

teamwoody72

LoanSafe Member
We were supposed to close today on sale of our house and title co. said there is a 2nd mortgage through HUD for $102k. they said its a partial claim mortgage from 2012. our mortgage was with BOA at that time and we did a modification load. My mortgage was taken over 8 years ago by nationstar. We assumed that everything we owed was rolled into that mortgage. until today. i have had no luck finding out what the heck happened. i looked up a partial claim and it states cannot exceed 12 months worth of payments. my paument was 2300 per month so how can i owe $102k?
 

Moe Bedard

Call 619-379-8999
Staff member
Loan Safe Mortgage
I'm sorry to hear about that. One of our LoanSafe mortgage experts. Erik Sandstrom is a senior loan officer with Prime Lending. He has a team that specializes in these types of problem loans and second mortgage issues. If you have not spoken with him, I suggest you do at 619-379-8999 and he can help.
 

teamwoody72

LoanSafe Member
Would he be willing to help me even if im not looking for a new mortgage as of now? I received a title commitment and there a 4 loan mods, 2 with BOA and 2 with Nation star (Mr Cooper). Where do I even start? I just dropped a check of to my lawyer so they can close. I just dont understand how i can possibly owe $120k more for my house than i paid 12 yrs ago. We never took money out against the house. Something is amiss and i dont know where to start. We were expecting $86k from closing and ended up dropping off a check for $18k today to get closing done. I was on hold with HUD for 2 hrs 25 minutes before they picked up and they stated i needed to talk to mortgage companies on the loan mods.
 

Moe Bedard

Call 619-379-8999
Staff member
Loan Safe Mortgage
That sounds fishy but it is somewhat normal in these types of situations., Your loan officer is not experienced in these matters so that is why the loan is all messed up. and Yes, give him a call and he will advise you the best he can.
 

teamwoody72

LoanSafe Member
I was able to get a printout of the partial claim modification. When we did the modification back in 2012 we were under the influence this was a principle reduction that BOA offered us with no expectation to pay back the reduction. We did not know they added a 2nd mortgage where the reduction had to be repaid when selling the home or finishing the loan. This was a HUGE shock when going to a closing we were expecting to receive $85k and ended up paying $17k. We truley had no idea we had this 2nd mortgage. This should be illegal.
 

BCMB1 Trust

LoanSafe Member
Sorry to hear you about your gut-wrenching situation. I'm also in the same boat, having found out that Bank of America modified the first loan in 2011 and sold the junior lean-to shady investors after promising us on the phone that we will be paying one loan going forward. After making payments on time for 8 straight years, a new servicer and investors showed up and demanding payment of 50K. Living in a nonjudicial foreclosure state, there is nothing STRONG we could do to stop foreclosure from being granted. We are now 20days away from moving out of the house if something significant doesn't happen. You are not alone; many people are getting hunted by countrywide/Bank of America subprime loans of 2004-2007. Finding a lawyer to defend you is near impossible in my state. I have talked to nearly every lawyer, and all they talk about is bankruptcy, which will only put a band-aid on the problem. I think the best thing to do in your case and my case is to sue with goal of either winning, or settling for less should the enemy crack. Loans that have been modified, or originated with BOA, country wide, Nationstar and other major scammers have tones of errors, according to attorney I talked to today. Litigation is the only way (win or lose), or homeowner will be traumatized for years from this financial rape. Better dying upright than on the knees!
 

teamwoody72

LoanSafe Member
Sorry to hear you about your gut-wrenching situation. I'm also in the same boat, having found out that Bank of America modified the first loan in 2011 and sold the junior lean-to shady investors after promising us on the phone that we will be paying one loan going forward. After making payments on time for 8 straight years, a new servicer and investors showed up and demanding payment of 50K. Living in a nonjudicial foreclosure state, there is nothing STRONG we could do to stop foreclosure from being granted. We are now 20days away from moving out of the house if something significant doesn't happen. You are not alone; many people are getting hunted by countrywide/Bank of America subprime loans of 2004-2007. Finding a lawyer to defend you is near impossible in my state. I have talked to nearly every lawyer, and all they talk about is bankruptcy, which will only put a band-aid on the problem. I think the best thing to do in your case and my case is to sue with goal of either winning, or settling for less should the enemy crack. Loans that have been modified, or originated with BOA, country wide, Nationstar and other major scammers have tones of errors, according to attorney I talked to today. Litigation is the only way (win or lose), or homeowner will be traumatized for years from this financial rape. Better dying upright than on the knees!

We ended up paying 18k at closing instead of receiving 90k. It has turned our lives upside down. I spoke to a lawyer and said I have very little chance of winning. I have just accepted the loss and trying to move forward.
 

Survivor_IN

LoanSafe Member
As someone who has gotten taken at the closing table, here's my 2 cents for what it's worth. This is only hindsight, but I would (now) have walked away from the closing table and taken the time to investigate. Yes, I know there is pressure to keep signing and that is how they get you at closing. Your tolerance for loss is higher than mine. One would think this would be disclosed in advance. Right? !!! I suppose they denied you title insurance too. I'm beginning to wonder if the pandemic is causing a resurgence in mortgage fraud.
 

teamwoody72

LoanSafe Member
Mine was from 9 years ago. My current mortgage company had no idea there was a 2nd mortgage. I see there was a large lawsuit won against BOA around that time as well.
 

JohnFL

LoanSafe Member
If this supposed 2nd mortgage company had no lien filed with the county then they should not have been paid. I would not have given them any money. The title company that did the closing was not obligated to give them any money if they did not have a valid lien on the property and would have still done the closing. Whoever told you to pay them gave you bad advice.
 

Survivor_IN

LoanSafe Member
The "Title Insurance" agent knew and found this. This is their job. Sounds like you were kept in the dark until presented with closing documents and already invested in selling the house. I could be wrong, but this is what title insurance is for. The fact you were not informed prior to closing is disturbing. It appears lender is covered and simply remained silent and lying in wait for sale or foreclosure to collect. There have been surprises lately with regard to HUD claims where modified loans are involved in sales and transfers. It would be nice to know some truth on what is actually a legitimate legal claim where one encounters silent seconds and additional securitized investors from past dealings.
 

Survivor_IN

LoanSafe Member
I think you have a limited amount of time and may possibly recover any overages on that payment if you can prove a different amount owed versus claimed on this hidden lien. I would think your attorney has these documents with regard to the lien and its accountings. Weird he didn't just charge you for a few hours of dealings with HUD versus presenting you with a 100K bill to pay. He did what was easy. Its possible it was legitimate and you have no choice but I sure would want to review the supporting documents.
 

teamwoody72

LoanSafe Member
I have requested the supporting documents after over 15 hrs of phone calls with HUD and BOA. The requirements I found for the hud partial claim state you must be at least 4 months behind but no more than 12 months on the mortgage. My mortgage payment was $2500 so if that's the case I don't understand where $102k mortgage came from. I'm trying to get to the bottom but it's a VERY difficult process since you cant get through to HUD and BOA sold the mortgage 9 years ago.
 

Survivor_IN

LoanSafe Member
Your attorney does not have this verification of the debt? If you can't get through to HUD then who exactly did get through to HUD to determine the payoff???? These are valid questions. Make sure they are paying off a legitimate debt as there was no lien filed on it.
 
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