Ch7 & House Mod. Questions

[2muchinDebt]

We will be filing Ch7 in the next 3 months. When exactly I don't know. We are waiting for Chase to modify our 1st mortgage & HELOC. They've called for updated paystubs, 2008 taxes, etc. they know we are going to file BK.

We are underwater..owe $436,000 worth about $315,000. Heloc is $45,000. Both are through WAMU/Chase. Our credit cards have been charged off. Just missed out first mortgage payment.

IF we file CH7 and do not include the house/Heloc what happens? Do we have 6 months to find a place to live?

If we file CH7 and reaffirm w/o knowing the answer on the modification what happens?

We need time to find a place and pack everything up. And also don't want to have to pay any taxes or the difference if the house were to sell later on. DOes that make sense?

We'd like to keep the home ONLY if we get a modification and don't want to pay any $$$ except that payment. If they don't modify why keep the house? I'm sooo confused with the "ride throughs" foreclosures, short sales, reaffirmations, etc.

Can someone help explain, please?

[hopeforus]

We are in the same boat. Waiting to hear from GMAC about our 1st. Our 2nd was just bought by someone... or paid off by an insurance company which is what the letter said to me. We also are waiting to file because of this. We are now in our redemption period for our house I believe and we will have until Nov to stay here. But we want to settle somewhere by the time school starts. So if we don't have a mod by the end of July we will have to just say forget it. We can't do this if they don't mod because we can't make up the past payments or pay the full amount with property taxes , ins. etc.

Part of me just wants to say screw it. We aren't in love with our house. But I don't want to uproot my kids from their school if we don't have to. I don't want to be forced into Milwaukee if we don't have to. Not much in the way of rentals up where we are...

[kennman]

Too much in debt:

I learned the hard way, in fact I am still learning.

Do not file BK (if you can avoid it) while trying to do a loan mod with Chase.

You think the line of communication regarding the loan mod is poor now, wait until you file the BK.

Try to get the loan mod done first.

Kenman

[2muchinDebt]

Oh...yeah. If we don't hear about the loan mod. by the end of Aug. we're filing Ch7 and putting the house in it as well. No way am I going to file BK and hope Chase works something out afterwards. They don't really have to at that point. I don't want to be responsible for the difference of what they sell it for and the amt. we owe or the taxes. They told us we were in Phase 1 of the modification process..whatever THAT means? A month ago we got a letter saying we'd hear something in 30 days too. They called us too to see if we got the letter. They know we'll be filing so if they don't play ball they will EAT the ball.