Fannie/Freddie Loan mod inquiry

[rjl0206]

To all,

Just wanna ask opinions on the new fannie/freddie loan mod. Here is a recent post that these loans mods may actually hurt u in the long run rather than help, thogh it does seem OK for the short run and lowered monthly mortgage payments. thoughts?

http://mrmortgage.ml-implode.com/2008/12/17/fanniefreddie-come-get-your-loan-mod-pay-for-life/

thanks

ray

[Flamingo]

The problem with load modifications is that in the long run, you have to be able to make the payments and need to realize that usually nothing is free and if there is a modifiation of the equity, the lender will probably have an interest in that difference when the house is sold or after the end of a Chapter 13 plan when it may revert back. You have to read and understand all the language carefully and definately go over everything with an attorney before signing.

[rjl0206]

The problem with load modifications is that in the long run, you have to be able to make the payments and need to realize that usually nothing is free and if there is a modifiation of the equity, the lender will probably have an interest in that difference when the house is sold or after the end of a Chapter 13 plan when it may revert back. You have to read and understand all the language carefully and definately go over everything with an attorney before signing.

from my understanding so far, if that is the case then might as well reject any mod. offers and go ahead and just add the arrears to my bk filing coming up. Im behind one month now due to my wife's car needed major repairs (70K miles freelander) this past month and my mortgage lender would'nt even take partial or half payment. anywho, thanks, I am leaning towards declining the mod if they offered it to me as of now.

Ray

[njguy1972]

since you already missed a payment check out this program. It is a new program from the govt to stop foreclosures that actually reduces your total mortgage. It stinks that if you are not behind on your mortgage but failing on other bills that there is no program to reduce your mortgage so you can pay off your debts.


Hope for Homeowner program

http://portal.hud.gov/portal/page?_pageid=73,7601299&_dad=portal&_schema=PORTAL