1st mortgage solved, here is the deal on the second

[getmeoutofhere]

You all saw my post on the 1st mortgage that I was able to renegotiate with Med-Life/First Horizon.

Here is what I found out on my Second.

Second is $150K with GMAC. Original interest rates is something crazy like 12% 30 year fixed. Last week, the loan was removed for Loss Mitigation and transferred to Recovery. I am 8 months without paying.

Today, I spoke with the Recovery department. They indicated that their standard procedure is to "settle" for 20-30%. They would provide a lien release and a 1099. However, since this is a primary residence, I may be able to get away from having to actually pay tax on the 1099.

I am going to let this sit for a few days. My offer back to them will be 5%, or $7500 paybable over 10 months. The of course will counter back at probably 30%. My hope is to settle somewhere in the middle.

Just FYI...

[techguy74]

Good luck and I am glad to hear that you are getting somewhere. I, unfortunately, am still waiting for CountryWide to respond for a modification.

[chloe0724]

That's good news. I have a huge second as well and they are not into negotiating. I was able to get the 1st modifyed from an ARM to a fixed at 5.125%

[getmeoutofhere]

Update

Update-
First call back from GMAC on the second. Offered a settlement as an option. Asked the I fax him a proposal. Then called back and asked for Hardship Letter, 2 years bank statements, 2 years tax returns, etc etc etc

LOL NOT GOING TO HAPPEN!!!!

There is NO way I would provide THIS info on a settlement. Sounds like a setup for a lawsuit lol!

Anyhow, faxed an offer with hardship letter. Will keep you posted

[getmeoutofhere]

Update

Update:
Spoke to GMAC this morning. I offered them a 5% buyout of the lien. They came back instantly at 10%. Telling me it is a great deal, etc etc. I told them they will get far less from a JDB or litigating. That the debt is basically an unsecured loan which I can BK. Said I would think about the 10%, but we need to get closer to 5%...

[justbroke]

Very nice negotiations! What's your bottom number? (okay, don't tell me... but I'm sure you have a realistic one... like 7%)

[ShouldWeFile]

I am going to let this sit for a few days. My offer back to them will be 5%, or $7500 paybable over 10 months. The of course will counter back at probably 30%. My hope is to settle somewhere in the middle.

Will they take it over 10 months? I would think if they are settling for 10% or less, they will want it all upfront, no?

[getmeoutofhere]

Very nice negotiations! What's your bottom number? (okay, don't tell me... but I'm sure you have a realistic one... like 7%)

My goal is 7.5% payable by the end of august

[sadandconfus]

chloe did you get yours modified before or after chapter 13?

[spidge]

Good luck and I am glad to hear that you are getting somewhere. I, unfortunately, am still waiting for CountryWide to respond for a modification.

Me to. I have not payed for 3 months and have a modification file with them again, but I don't think they plan to budge. I hope they come up with an offer like 10% over a couple years, but I will push for 5% as getmeoutofhere is attempting.

Thanks for the thread and posts.

[albacore44]

What a lot of people don't understand is many of these mortgages are just being serviced by you holder when you think they actually own it. Many of these mortgages are owned by foriegn banks.......and they are not playing ball

example= good friend of mine has his loan with Indymac........remember them ?? FDIC took them over. He got behind because he has a sick child with kidney failure, and the medical costs to treat the child are big. He begged Indymac for a modification and was told the investor doesn't offer any. I was watching court records for him. sure enough an unlawful detainer shows up under his name, only the creditor shows as Deutsch bank. I asked him, do you have any loans with Deutsch bank. answer= no. Now he is filing Ch 13 to save his house. He was also sending $600 a month to some debt settlement agency in Texas to pay off his Credit Cards, he thought he was doing the right thing. when i found out I told him stop paying that now, your digging a deeper hole so he will be filing a few months sooner than me. we swap debt stories of the week on our friday nights tequila drinking night.

[sadandconfus]

i have an appt with attorney to see if i can do a 13 instead of a 7 because i'm not current on my house and i want to keep it even though i'm so far underwater.

[spidge]

albacore44

Why are you both waiting to file? I am screwed to but would like to know why wait.

[albacore44]

albacore44

Why are you both waiting to file? I am screwed to but would like to know why wait.

I got some large BT's in 2008. Also my income was cut around the end of last year. I just stopped paying CC's last month. as painful as it will be, I want things to age a bit.

[BKINAZ]

ALBA thanks for the hard reminder about foreign banks...mine is compass and they are owned by a german bank. I was getting excited by GETS success and you kick me in the gut. lol BTW still wondering why if he was hoping to get between 5% and 30% that he won't settle for 10%?

I am like 83 days behind and talked to them last week...they told me in 7 days it would be 90 days behind. I thanked them because I didn't have my calculator handy. lol They did show a little bit of movement in offering me 2% (vs 7%)....so it is good to see someone having success with a second.

BTW just got my mortgage modification offer...our mortgage was $2,600 a month...it is now being reduced to $1,750 and that will probably keep us out of bk.

Chase/Fannie btw...