Maryland Walker

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Bad luck is all I have

LoanSafe Member
May 3, 2016
10
0
1
I'm just starting this thread so I can document our journey through this whole process.

We stopped making payments on July 1. This is a mortgage on a rental property we own. It started as our primary residence, then when we had to move, it became a rental by default since we couldn't sell it for anywhere near what we owed.

It is a FHA mortgage, with mortgage insurance. No additional loans/liens on the property.

Wells Fargo has tried to call us a few times, but outside of that, we've heard nothing. As of today, we are 31 days late. I'm just sitting back waiting to see what happens next...
 
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Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,854
467
1,000
49
Southern California
www.loansafe.org
Thanks for sharing your story and starting this thread.

I'm sure other Maryland walkers will participate and share their stories as well as time goes by.

I wish you the best of luck on your journey.
 

Bad luck is all I have

LoanSafe Member
May 3, 2016
10
0
1
So, we've missed 2 months' payments so far. Wells Fargo put a note on the door of the house about a week ago asking us to call them. A few days later, we received a certified letter to the same affect. I chatted with WF online through their website and they recommended I call the "Home Preservation Department." I explained that we do not want to preserve the home. We cannot afford the upkeep, we cannot rent it because of lead paint issues, and nothing in the neighborhood is selling, so a short sale wouldn't do any good. They advised I should still call and discuss my options with them. Today I received a FedEx package with a stack of forms to fill out and send in to their Home Preservation Department. I was originally planning on just not having any contact with WF and letting this play out however it will. Now I'm wondering if I should try to engage them a little to see if I can get a Deed in Lieu. I'm worried if I talk to them too much, I may say/disclose something that I shouldn't. Any guidance from the community would be greatly appreciated.
 

Bad luck is all I have

LoanSafe Member
May 3, 2016
10
0
1
I just received an odd phone call from Wells Fargo. We are currently about 3 months late on our payments. I was getting tired of getting phone calls and voicemails from WF Home Preservation department, so when they called just now, I answered the phone. The woman I spoke with, Erin, asked if we wanted to go through with a Home Preservation Interview. I explained that we cannot afford to "preserve" our ownership of the house. She asked if we wanted help to liquidate the home and I told her that sales in the area just aren't happening. She simply said she would remove us from the department. What exactly does that mean? I'm trying not to do anything that would screw us over anymore than it has to in this situation.
 

Moe Bedard

Call 1-800-779-4547
Staff member
Loan Safe Mortgage
Aug 10, 2007
26,854
467
1,000
49
Southern California
www.loansafe.org
Hello,

She was saying that your file will be removed from the Wells Fargo Home Preservation Department which means that they will no longer pursue loss mitigation efforts to possibly help you save your home. If it affects anything, it may just speed up the foreclosure process. I would not worry about it too much.
 

Bad luck is all I have

LoanSafe Member
May 3, 2016
10
0
1
I haven't posted in a while, so I figured it's time for an update.

It's been 10 months since we made a mortgage payment. The phone calls stopped about 2 months after we stopped paying. I think we've been assigned to at least 5 Home Preservation Specialists. I've just avoided all contact with them about this loan. There hasn't been any filings with the courts yet. I just finished another search for our names on the court website.

The county the house is in is notorious for tacking on fees and liens for stupid violations. That was actually the last straw in our decision to stop paying the mortgage back in July 2016. We had some rabbit holes under the shed on our property. They came out the first day after the snow melted from the last big snow storm last year and gave us a $900 fine because they said the holes were rat holes (a rabbit hopped out of one of the holes when the inspector took a picture to document the "rat holes"). I went to the county hearing and fought the fine. They "graciously" reduced it to $400, even though you can see a rabbit sitting right next to the "rat hole" in the picture). Last month I received a notice of tax sale from the county because we haven't paid the $400 fine. I'm trying to figure out what happens if WF doesn't pay the fine and doesn't redeem the property prior to December of this year (that's when the person who purchases the property at auction will be allowed to foreclose and take possession of the house). I'm curious if we would still be responsible for paying the mortgage if nobody redeems the property prior to the tax sale foreclosure. I can't seem to find that answer anywhere online.

Depending on how the tax sale situation pans out, my husband and I have been debating about breaking the radio silence to request a Deed in Lieu. A friend of mine went through the steps of foreclosure during a divorce proceeding recently (didn't actually lose her house, but came pretty close). Her mortgage company actually gave her the option of DIL and said they wouldn't list it on the credit report. The only listing would be a 90+ day late payment. I'm not sure how accurate that would have been if she had signed her house over, but it's tempting to ask and see what they say. To be honest, I'd really love to just get this over with so we can rebuild our credit. We started with scores in the low 800's and now we're both down to about 600....

Sorry for such a long post. I'm going to try to be better about logging in and updating this thread with any activity on our situation. I'm just hoping to document what we're going through in case it can help anyone else in MD going through this.
 

tgeoghegan

LoanSafe Member
Jul 25, 2012
49
0
6
I haven't posted in a while, so I figured it's time for an update.

It's been 10 months since we made a mortgage payment. The phone calls stopped about 2 months after we stopped paying. I think we've been assigned to at least 5 Home Preservation Specialists. I've just avoided all contact with them about this loan. There hasn't been any filings with the courts yet. I just finished another search for our names on the court website.

The county the house is in is notorious for tacking on fees and liens for stupid violations. That was actually the last straw in our decision to stop paying the mortgage back in July 2016. We had some rabbit holes under the shed on our property. They came out the first day after the snow melted from the last big snow storm last year and gave us a $900 fine because they said the holes were rat holes (a rabbit hopped out of one of the holes when the inspector took a picture to document the "rat holes"). I went to the county hearing and fought the fine. They "graciously" reduced it to $400, even though you can see a rabbit sitting right next to the "rat hole" in the picture). Last month I received a notice of tax sale from the county because we haven't paid the $400 fine. I'm trying to figure out what happens if WF doesn't pay the fine and doesn't redeem the property prior to December of this year (that's when the person who purchases the property at auction will be allowed to foreclose and take possession of the house). I'm curious if we would still be responsible for paying the mortgage if nobody redeems the property prior to the tax sale foreclosure. I can't seem to find that answer anywhere online.

Depending on how the tax sale situation pans out, my husband and I have been debating about breaking the radio silence to request a Deed in Lieu. A friend of mine went through the steps of foreclosure during a divorce proceeding recently (didn't actually lose her house, but came pretty close). Her mortgage company actually gave her the option of DIL and said they wouldn't list it on the credit report. The only listing would be a 90+ day late payment. I'm not sure how accurate that would have been if she had signed her house over, but it's tempting to ask and see what they say. To be honest, I'd really love to just get this over with so we can rebuild our credit. We started with scores in the low 800's and now we're both down to about 600....

Sorry for such a long post. I'm going to try to be better about logging in and updating this thread with any activity on our situation. I'm just hoping to document what we're going through in case it can help anyone else in MD going through this.

Hi Bad luck is all I have:

Any update on your situation? I have a Condo which is renting but I lose 300$ a month. We are still underwater. Thanks!