Housing situation still a grey area

**creditcardfree** · 07-14-2009, 10:02 AM

Have you spoken to a supervisor at Beneficial?

Are they looking to see if you are going to make a payment?

If it were me, I might go ahead and make the payment you can afford today. If in the end, they don't approve another extension...then you need to attempt to sell this house with a short sale and worse case scenario wait until they foreclose on you. I'd probably call and tell them just that.

**Radiance** · 07-14-2009, 10:32 AM

Yeah supervisors just give me a longer excuse, sorry, explanation where they go over how overloaded they are with requests like mine and that they have hundreds of cases like mine and how I still have the grace period, even if it is 48 more hours.

I told them it was very simple, if they approved I needed them to make a longer term determination "I can not handle the stress Beneficial puts me under not knowing if I will be able to keep my house"
"My situation has not changed, if you still decide not to approve me this time I will have no option but to go into foreclosure since you won't approve a short sale" "I don't want to go into foreclosure, look at my history, I have not missed one payment" "I am sure you don't want to go into foreclosure either" "I trust we can get to an agreement that will benefits us both" "I keep waiting for your answer on my request, I really expected an answer at least 15 days prior to due date"

Their response, each time "We will let you know as soon as we get to a determination, with so many clients being late, they take priority over your case"

I am not stressed, really. I know what I will do either case.

It will be a real pitty if I have to ruin my credit score and go back to renting after all the effort and after so many years of building a good score. But it is what it is.

I agree with you. July 16th I am making a payment for the reduced 1550. And we will see what happens.

**red92s** · 07-14-2009, 10:55 AM

You can't afford the house, plain and simple. If the loan modification is not permanent, or at the very least something on the order of 36 months or more, you need to move on.

They are in no way obligated to give you a modification, you were fortunate to receive the first one. You are living in a home you can't afford, and will continue to not be able to afford without a dramatic rise in your income. Either sell the house, or earn more money.

**Radiance** · 07-14-2009, 11:06 AM

Can not sell the house, they will not approve a short sale.
It seems to me they either approve or I go foreclosure.
I think what I would do is leave the house and go renting while I can still rent in a decent place with good schools. If I stay in the house rent free during foreclorure the money I'll save doesn't justify the difference I'll be liable for (over 70k) and the huge deposits I would need to produce to rent on a decent place with a foreclosure on my credit report.
For now it is a waiting game

**creditcardfree** · 07-14-2009, 12:32 PM

It sounds like you have done your best to work with the mortgage company. I wish you peace in the next two days as you wait.

**zetta** · 07-15-2009, 02:26 AM

Have you had a chance to consult with a real estate expert?

One thing to look into is rental rates in your area. Would it be possible to rent your house out enough to cover the full mortgage payment (while you rent something more affordable)? Just looking for options that might let you hang on until the housing market recovers so you don't face such a large tax bill...

**Radiance** · 07-15-2009, 05:02 AM

Thank you Zetta, but no.

My biggest mistake ever was when I refinanced the mortgage to cash out money (Money that was wasted away)
Now, my housing is 2200 and the rental would be 1300.

But, it is time to look forward, I did what I did.

I did talked to two hud approved agencies and a real state lawyer.
My only way out of the house is a forceful one (foreclosure)

I really think the bank will approve the hardship, it is in their best interest (no pun intended) We'll see.

**buildmybudget** · 07-15-2009, 08:43 AM

I agree with the short sale unless you can get a permanent modification. Unfortunately your credit will take a hit, but at least your cash won't be completely tied up in a house you ultimately can't afford. It's a tough decision though, and you need a budget that shows exactly where you are headed so that you can make the right decision.

**DebbieL** · 07-15-2009, 08:55 AM

Hi. Is there any chance you could bring in a renter for August 1? I know where I live (Victoria, BC) there is a very active online board that has lots of people with young kids. They often help each other out with many issues. For example, if someone is suddenly a single mom and needs accommodations, usually about 4 or 5 people will respond within an hour or so. They will post what they can afford to pay, etc. Our site is called kids in Victoria (one word), maybe there's something similar in your town? I've gotten a great reference to a wonderful house cleaner through them, and also gotten an application to co-op housing from one of the members that lives there, etc. Or, you could put an ad up on Craigslist or something like that.

I wish you all the best, and please keep us posted on how it goes.

Love Debbie

**Radiance** · 07-16-2009, 08:19 AM

Renting a room. If it is for a period of time to get pass a hump I could consider that. Actually I will do it for a few months to a year so I can pay my credit card debt down. But I can not do it for the long run. Or better said, I am not willing to do that. I rather loose the house. It is just not a living sutuation I am willing to endure.

I guess it comes down to personal priorities.
I called the bank, they accepted the lowered payment since they are still pending a determination on my case.

I need to be in the look out, I will not accept late fees when I am waiting on them.

Will keep you posted. That covers my July Payment, they better not harras me for the difference. I hope I am ok until August 16th...Amen!

**graceful** · 07-16-2009, 08:59 AM

I would take in the renter as long as possible - at least 1-2 years. If you can get rid of all your debt wouldn't that lower your overall monthly obligations so that you can afford the correct mortgage amount?

Sounds like you are trying to make the hardship mortgage amount a permanent situation. It will never be permanent - you are just delaying the inevitable. USE the temporary time when they agree to the lower amount, get a renter, pay down all your other monthly debt bills, and build up an emergency or surplus account. So, that when the mortgage reverts back to the higher amount, you can handle it with or without the renter.

Otherwise, no amount of cutting back on Panera Beard (LOVE that place, btw) will let you keep the house and you will be back to this exact situation in a few months.

Wishing you the best of luck.

**Radiance** · 07-16-2009, 09:22 AM

That sounds like a plan I can live with!
At $600 a month for a room, I estimate it would take me just 15 months to elliminate my unsecured debt of $9000. Maybe a little more since each month they charge finance charges. Let me use a debt payment calculator.

**creditcardfree** · 07-16-2009, 12:05 PM

Originally posted by graceful View Post

USE the temporary time when they agree to the lower amount, get a renter, pay down all your other monthly debt bills, and build up an emergency or surplus account. So, that when the mortgage reverts back to the higher amount, you can handle it with or without the renter.

Good advice!

Housing situation still a grey area