Delay foreclosure in California

[DumbMe]

OK thanks for your answer. I just spoke with an attny who has dealt with the difficult Wells Fargo (they are the worst bank from my experiences and research) and he says there is a "short-sale" available, different from the "walk-away monies" given when you leave a place "clean" that is a new gov't program that might even be better.

But I'm with you to stay in this place as long as I can, it's an extra $2900 a month...sure beats buying beans every day - sorry I don't go along with that Dave guy who is on Fox TV. I was born poor and suffer anemia all my life from living poor and went to work at 9 yrs old - to hell with living without eating right.

I won't play "victim" to any bank for always doing the right thing - it's indecent for what is happening to good people in this country. Will post what I hear about this new program that might be better for Fico which I have proof of yes, is good now, but will quickly disintegrate...as I have 3 cats, and to rent a nice place is important to me and them, thanks again for your post, good luck with your situation too!

[DumbMe]

Thanks so much for your post! I'm with you on staying here as long as I can, to build up some money to rent with. But I have 3 cats and renting a good place to live for me and them (I'm a woman and must be in a safe neighborhood) and so many do go by the Fico tho' "will allow for some negatives" in ads.

Just spoke with an attny used to dealing with the bad Wells Fargo, probably the worst of the bad banks who don't do anything for anyone, and act like you're a criminal besides.....and I don't agree with that Dave guy on Fox either. I grew up poor and have lifetime anemia because I didn't eat right, it's nice to eat right again, no beans every day for me....and I've been working since 9 yrs. old, doing things right, raising my kids, and working 2 jobs most of my life. Am not going to play "victim" to any bank for what they're doing to normal decent people in this country. We should ALL SUE THEM for the way they took our tax monies for their own investments and don't help law-abiding deserving middle class who worked hard all their lives only to be kicked when down when they, the banks make mistakes in their fast greedy ways of making mortgages just for anyone?!
And yes, someone was right to call them idiots, they're idiots alright but they're also sticky-fingers with their TARP monies. Sorry my anger is showing, but why should we lay down, lose all our hard-earned monies and be homeless to boot? Thanks again for your post and I wish you all the best too, will post more if I hear any news about a new short-sale program.

I couldn't edit out the first one, it took 1/2 hour to show up after posted, and I had to teach so I got back there too late. Sorry for the duplication, but now I can't edit the first one.

[carol7lynn]

I was at a job interview last week and met a woman here in California that is still in her house two years after she stopped paying her mortgage.

California is really hurting right now. I'm sure no bank in my area of CA is willing to force anyone's hand since according to yesterday's paper 54% of homeowners in my county (San Bernardino) are underwater with their mortgages. I also read yesterday in another article that the bank stands to loose about 50% of the mortgage when they foreclose on a home.


C7L

[DumbMe]

Thanks so much for your message carol7lynn. That makes sense since I know a young fellow in that same type of situation, renting a room in a house that was in foreclosure for almost 2 years, he's still there, nothing has happened. My main concern also is enough credit to rent something decent (and not living in an un-safe neighborhood) along with renting with my pets, etc.

Short sale is looking better all the time, but banks are so awful to deal with, either stupid or greedy or both as for getting anything agreed upon. And banks are so late in joining any program of gov't like Obama's new April 5th short-sale plan too, am up in the air yet. I appreciate your post, and thank you for this news.

Sure hope the banks get it together soon to help honest homeowners and the under- and unemployed - I don't of anyone who likes and/or trusts banks anymore. They caused this terrible situation in the first place and so many like me losing everything they ever worked for. It's too late for me being 75, born poor, worked hard day and night all my life and will have nothing when I die too.... but sure hope the younger people and families will be helped.

[good2free]

Nothing so far

The last letter I received from CITI said they want 6K+ by 4/4/10.

I have not paid a dime and did not recieve any further info from them.

thanks

[bulletproof77]

I don't know about 2 years...Mine took 13 months, start to finish..Locks changed, bank owned etc..Hesperia, CA.

[DumbMe]

Good2free, I did make a partial payment in March of $300.00 which they had notated, but tey set it "aside" and still billed me the full amount anyway. None of that $300.00 was applied to the balance, and of course they wanted over $5700 by April 15th. Going to stay here for 3-4 months until my credit starts going down and then get the heck out of dodge, renting something good while I can. And working with a short sale realtor in the meantime, not sure if that'll work am not counting on it at all but want to show responsibility of some kind at that time.

My lawyer says (he writes real estate laws too and is a real estate/bankruptcy lawyer) "stay as long as you can, I have some clients that stay well past 1 year without any trouble pocketing their mortgage money as 'money talks' when renting. Once they foreclose, we'll do a Chapter 7 if we have to."

He says short-sale realtors just want to make the money off of short-sales and the banks will turn them down once they have your data anyway. He keeps saying "do foreclosure but I can keep you in your home well past Christmas if you want" etc.etc. and says some of his clients are in their 2nd year of living free in their homes.

The new Obama Short-Sale program out today doesn't include Freddie Mac or Fannie Mae loans and the banks have to "sign up for the program" which means it's voluntary on their parts then. Sure right, Wells is going to "offer" my foot! One Harp refi guy I tried to get a HARP loan with, just out and out proved there was collusion between Freddie Mac and Wells-Fargo anyway, that was plain to see. One Wells-Fargo bank lady said "well I had no problem getting a modification" - I almost laughed when I said "but you work for Wells-Fargo, of course you didn't have any problem getting a modification thru Wells-Fargo!"

But where I want to go requires fairly good credit, otherwise I'm in Compton or some iffy neighborhood. I hate banks, they don't care about human lives at all and I let them know that too. Am not mean to employees in the bank but sure let them know people hate their policies of taking our tax dollars for their own profits and exec riches, and leave us all in their dust.

[good2free]

Just received a certified mail from CITI.

It says they tried to contact me on the phone number they have on file (I changed it a long time ago) and are unsuccessful. According to CA law they need to do this.

The letter says not they are intended to move forward on foreclosure process. It says it may not be too late to contact them and they can do a mod.

Should I call them??

thanks

[Overmylimit]

the numbers are overwhelming and the banks are NOT releasing them for the trust sale. Why they have this shadow inventory, I don't have a clue..

Because if the banks released ALL of their inventory of homes to the market at once, we would be buying them for pennies on the dollar . Look back at the Savings and Loan scandals back in the 80's they sold all their homes way cheap when they were shut down and they were cheap because they flooded the market with inventory.

[Jaxter]

[DumbMe]

Foreclosure Lawsuit after Chap. 7 discharge (Calif.)?

Can someone tell me why a bank would file a "Foreclosure Lawsuit" after the house is lost in Chap. 7 bankruptcy? Am in Calif. and about to file for Chap. 7 and then go into default on mortgage and hoping to stay here for a few months to gather monies for rental when moving out. But how can the bank file a "Foreclosure Lawsuit" after the 1st & 2nd mortgages were discharged in Chap. 7 bankruptcy? How can that be?

Am all set to file for Chap. 7, it's the only way I can get out of this place and rentals I found out, shouldn't be a problem when the only problem is "can't pay mortgage, reduced income plus....can't get refi/modification because of lack of bank cooperation, and am underwater so can't sell (not even short-sale etc.) so no problem going Chap. 7, I can't climb these stairs much longer anyway, am getting more disabled. Please advise on the issue of "why is there Foreclosure Lawsuit after mortgage being discharged through Chap 7?" question, would appreciate some light on that, thanks so much.

I sure wish everyone luck in their foreclosures, it's true: banks are so stupid, it's unbelievable! Or just tight-fisted with our TARP tax dollars....is probably more the case....they sure don't want anyone to file for "bankruptcy" I've noted. So seems to be the good answer for homeowners dealing with these criminal banks.

PS. Also, here in So. Calif., in certain areas for instance, many an $6-800,000 home is going for $170,000, and rental ads for homes are saying "We Welcome Foreclosure Victims" too, which is a good sign people are recognizing what is going on here. It's becoming less and less a "shameful" thing to have a foreclosure (esp. when you *are* a victim!) as it should be. The banks are the villains, and my realty attny says (he agrees with the Chap. 7 too) that the banks' offers of modifications and refis (HAMP & HARP) are a scam by the banks - so beware, don't get your hopes up with short-sale, modifications or refis - how many really do you know have gotten those? Surely the numbers they try to convince people with are just "starts", but how many finish? They don't print those numbers or if they do, they're inaccurate according to my realty attny (he writes laws too, and is a bankruptcy attny dealing with many many former homeowners).

No I don't agree "banks are stupid" - maybe some of the clerks we talk to, but the banks fully are aware what they're doing, and that's not cooperating with the public, but they're careful with their verbiage, as they know they're "breaking the law" about how they're dealing with the TARP tax monies and not helping the public for which the TARP was intended - they're just having a blast with our tax dollars and they know it...it's time we figured that out and held them accountable and stop living in *their* fairy-tale speeches of how they *want to help us*, sure right.

I've tried about 6 times in the last year to get either a HAMP & HARP, as I certainly qualify, but same ol' "turned down by investor" until I finally got fed up at Wells Fargo "that's pure BULL and you know it, you the servicer are turning me down and that's illegal use of our TARP monies!" - we need to confront them like that, it's the only way to stop this madness criminal action by the banks. They surely don't care if you're a qualified customer, paying mortgages on time for over 40 years at all, they're doing this all on-purpose $$$$$$.

[newbie2]

Can someone tell me why a bank would file a "Foreclosure Lawsuit" after the house is lost in Chap. 7 bankruptcy? Am in Calif. and about to file for Chap. 7 and then go into default on mortgage and hoping to stay here for a few months to gather monies for rental when moving out. But how can the bank file a "Foreclosure Lawsuit" after the 1st & 2nd mortgages were discharged in Chap. 7 bankruptcy? How can that be?

Snipped for clarity.

The notes are discharged (the personal responsibility to pay) not the liens (the mortgage document).

Apples and oranges.

The only way for the lender to take possession of the property is through foreclosure. They still have to follow state foreclosure laws even if the borrower has filed for bankruptcy and has been discharged.

[DumbMe]

The notes are discharged (the personal responsibility to pay) not the liens (the mortgage document).<<<<

OK thank-you. But as I understand it, it has to be a "lien without enforcement" IOW, no-one can sue using that as an excuse after it's all discharged in Chap. 7 right? I'll probably have to check with my attny for this, I appreciate your answer, thanks.

[newbie2]

The notes are discharged (the personal responsibility to pay) not the liens (the mortgage document).<<<<

OK thank-you. But as I understand it, it has to be a "lien without enforcement" IOW, no-one can sue using that as an excuse after it's all discharged in Chap. 7 right? I'll probably have to check with my attny for this, I appreciate your answer, thanks.

They can't sue you for repayment, but they can sue you to return their property (the home that was secured by the mortgage). Unless there is something different about secured liens in California that I'm not aware of. Keep us updated ok?

[DumbMe]

BTW, about the "shadow inventory", doesn't it makes sense not to show that on banks' balance sheets? Something to do with government stuff, TARP monies, all that to cover their you-know-whats.

Besides, if they reported that shadow inventory, not only the investors would be very unhappy (national and internationally), but also would throw us all into a really worse depression/recession than we're in now. Why Wall St. is so up and down at the slightest provocation - they *know* about this shadow inventory. It's bad enough with middle-class defaults this year, let alone all the inventory that's not red ink on the paper yet.

We do have some power over the banks knowing that, just remember that. People are not dumb but can be held down with promises, and fears of this and that....just like I was afraid to file for Chap. 7 (banks have repeatedly pooh-poohed this approach, if you do just the opposite of what they say "won't work" you'd be right imo), people can be manipulated by the words "shame" and "you should pay your bills" and "it's your fault if you get in trouble" etc.etc. They caused this, not a few wayward people who "over-bought". I'd say most people are like me who "UNDER-BOUGHT" not "overbought" - I could have afforded much much more to spend on a home but didn't because I was prudent.

Banks and politicians, financiers etal. are all using psychology of shame and other target key words against the American public to keep any revolt down and any real help from getting to the public. I've never seen so much money flying around to peoples' pockets in my 75-year life and it's out in the open too. That's our tax dollars you know.