Question about Negotiating with the Lender

[jleonardis]

We filed chapter 13 in June of this year. Our mortgage is too high and we are facing foreclosure. I asked my attorney if I should try to negotiate with our lender. I have seen serveral articles on this. He said it was a waste of time. Am I dreaming that we would have a chance at modifying our loan with our lender? Is my attorney right? Is it a waste of time to go through a Hud credit counseling agency to try and negotiate different terms? I guess I am not ready to walk away from my house without exploring other options.

TIA,
Jessica

[emoney]

I don't understand the problem. Did you not sign the closing papers or did somelse sign them and defraud the title company and the lender?
As for help, HUD wil authorize the lender to help the most for any of their home loans they insure.
I hope this helps.
regards,
emoney

[HHM]

What you are suggesting is a mortgage workout agreement. Unless something has significantly changed in your life (i.e you have retired, are disable etc), it is very difficult to negotiate better "terms". MWA's are used to help you get back to square one, i.e. recasting the note to move the late payments to the end of the loan, Temporary suspension of payments, rolling the missed mortgage payments into a 2nd mortgage, etc. But generally, MWA's don't include meaningful alterations to the underlying mortgage terms. Thus, if you can't afford the home, you can't afford the home.