[Broke_Down_Dad]

Well lets see ... where to begin. To start we live in California with a home that has a first, second and HELOC. We owe $537K on the first, $134K on the second and $180K on the HELOC. Like many we tried to contact the banks to let them know we could pay and were in trouble well over 1 year ago. Given the brush off we used the HELOC to pay the mortgages that were ARMs to meet payments. Now of course last fall (December) they shutdown the HELOC. The home shows being worth $360K on Zillow and that is generous. Nationstar used to own the first and second but they moved the second to Americas Servicing Company. The HELOC is Bank of America.

Nationstar told me Friday they've declined to participate in the Federal Program. They verbally gave me a proposal that involved me giving the two months back mortgage payments and then they'd fix the payments at where they're at now (for two years) but apply it to principle and interest and taxes. Where as now that payment amount is I/O.

I'm calling a HUD number tomorrow to get their perspective. I'd like to keep the house but it may make sense to give up. If I had a single payment that was 31% - 38% of my gross we could make it but no one seems interested in doing that. At least Nationstar isn't they've told me their payment is reasonable it is up to me to deal with the second and HELOC. The other lenders are of course not secured based on home value so they dreaming if they think they'll see anything out of this.

Finally, I had hired a Loan Mod company and payed them $2K ... and guess what. Heard nothing for 2 months except them asking for info. I reached an employee on his cell which he had given me in December (luckily I found it) and he said they (to company) was ripping me and others off and not doing virtually anything. That is when I called my lenders and found out they had been trying to reach them (DBG FInancial) for well over 2 months. Hence I got involved and this is where I'm at.

Nationstar says they're getting ready to start foreclosure unless I commit to something (I know it is a pressure tactic but there could be some truth here as we're behind 6 months). We're 3 months behind on the second and not behind at all on the HELOC.

I'll close with saying I make a decent income ... although it has shrunk 10 - 20% because of incentives removed by my company. I just told the wife it doesn't look good but I still hold some hope. Am I being unrealistic???

[Royal]

Hi,
I might be able to help, but can't really say without more info.
Starting with the loans...rates? ARMs or fixed?
Do you have any hardship other than a decrease in your income?
What is your credit history? Be honest, excellent, good, fair, poor?
You said you make a decent income...how decent???
Give me figures...
Going Out
Mtg 1
Mtg 2
HELOC
Taxes
Homeowners Ins
Earthquake Ins
HOA Dues
Credit Cards (minimum monthly payment)
Car Payment
Other loan Obligations
Child Support/Alimony

Coming In
Gross Monthly Income
Child Support