My Walk, Vancouver WA, Provident Funding 1st, BOA 2nd

gettingadvice

LoanSafe Member
Apr 9, 2011
11
0
0
Washington state
Tomeason, I don't have a tax person. The lawyer I met with once last may had previously worked for the IRS, so I asked her all my tax questions. Maybe I will look for a tax person, I usually do my taxes myself online. Thanks.
 

TomEason

LoanSafe Guide
Jun 18, 2009
12,390
85
48
SF Bay Area CA
gettingadvice

Thanks for your update. It's fine to do your own taxes; in so doing, you'll need to stay on top of all the new changes in the IRC.

I have done my own taxes for many years, and have become an expert on my situation, but not in anyone elses.

I might recommend you get JK Lasser's annual publication, which is very inexpensive, and IMHO better than IRS site.
 

EKnight

LoanSafe Member
Nov 6, 2011
17
0
0
Washington state
My scheduled sale date is one week away and I have a few questions:

1. How likely is it that the sale (auction) will happen? A neighboring house had auction dates set and rescheduled for over a year before it finally happened, even though it was vacant. We are portraying residency, so I don't know how that might factor.

2. How do my rights change if a sale does take place? Although we have moved out, we still have things in the house that we need to move. Also, I believe it is my right to take things like fixtures and/or appliances as long as I replace them with equivalent items. Not sure if I want to do so, but want to know if sale date affects this.

3. Our goal is cash for keys. I know to watch for a notice from a real estate agent following the sale. Is there a way to know if my property has been sold other than some kind of notice like this?

4. I have been paying utilities on the property. I don't want the pipes to freeze and break so I am heating it (58 degrees) and have the lights on a timer for security and to portray residency. What is the recommended course for maintaining the property if the sale date is postponed?

Thanks so much for the help, this forum is very helpful.

On a side note, after promising modification in October, then posting a notice of sale, we have heard nothing. Last week, calls started to come from the mortgage company and a "we need updated information for your modification request" letter came in the mail. I'm tempted to call them, but I'm pretty sure they just want to try to get me to give them updated financials.
 

Entropy

LoanSafe Member
Nov 21, 2011
6
0
0
Hello again, I started my walk on January 1st with the intent to ignore all communication until foreclosure. I've been getting a few calls a day that I let go to voice message. Most just state their name and phone number. Now that it's the end of the month, I'm getting voice messages saying I need to content them to let them know if the place is vacated. If I don't respond, what will they do? Will they send someone to check if it's vacant? Should I contact them so they know it's not vacated, but avoid talking about my intent to foreclose? Thanks!
 

TomEason

LoanSafe Guide
Jun 18, 2009
12,390
85
48
SF Bay Area CA
Entropy

Thanks for your post. Your goal will determine what action you might take. If you want to stay as long as possible you might visit the HAMPster Wheel Game thread for lots of ideas and tips.

If however, you don't want to delay FC, I might recommend you ignore them.

Since by nature, I'm of the HAMPster Wheel mold, others may have a better suggestions on the latter.
 

TomEason

LoanSafe Guide
Jun 18, 2009
12,390
85
48
SF Bay Area CA
IKnight

I doubt you'll get much help here because nobody knows your state; each state has it's laws governing FCs and mortgage loans.
 

TomEason

LoanSafe Guide
Jun 18, 2009
12,390
85
48
SF Bay Area CA
Hi Tom. Sorry, thought I had that on my profile. I'm in WA.
EKnight

My bad. Your state is listed under your avatar. In my haste, I overlooked it!

Since your sale is forthcoming in a few days, if you plan on moving some personal belongings out, I recommend you do so now.

Yes, your rights change after the sale; you'll no longer be the owner. However, although a FC sale transfers legal title to the property, that sale doesn't grant the new owner legal possession, i.e. occupancy. That will be done either through C4K or an eviction.

If an item isn't a fixture, you can remove it without replacing it with a similar but inferior item.

If you want C4K, you'll want to make your home appear to still be occupied. After the FC sale, go back everyday to see if the real estate agent or new owner has posted a notice on the front door. Call the number listed on the notice and make an appointment to meet to exchange keys for $$.

If your sale is postponed, then you're still the owner. Reference the loan mod mail from your lender, I recommend you never again communicate with them.

You can determine the results of the trustee sale by logging into the free site at LPSASAP.
 

EKnight

LoanSafe Member
Nov 6, 2011
17
0
0
Washington state
Thanks much. Now I'm just waiting to find out if the sale happened. I'm not sure how quickly the LPSASAP site is updated, especially after a Friday trustee sale date. As of today there was nothing there. If it did sell, I might expect that the agent would be motivated to come by on a Saturday. I can hope!

Are C4K offerings specific to a given loan servicer (i.e. PNC) or the investor (i.e. FreddieMac)? I'm just wondering what my chances are.

Also, can you recommend a good thread here in the forums with advice or tips for successful C4K negotiation?
 

bobbyhals

LoanSafe Member
Jan 15, 2012
24
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0
Tomeason, I don't have a tax person. The lawyer I met with once last may had previously worked for the IRS, so I asked her all my tax questions. Maybe I will look for a tax person, I usually do my taxes myself online. Thanks.
Hi gettingadvice
Could you please let us all know when you find out. I also have a refi-loan.
 

TomEason

LoanSafe Guide
Jun 18, 2009
12,390
85
48
SF Bay Area CA
EKnight

You might use the Search the Forums tab to find such a thread, if one exists.

FYI, an occupant can force a post FC owner to offer a cash incentive for voluntarily vacating. To do so, remain in occupancy. The owner will want to offer a $$ incentive instead of having to evict the occupant. Bear in mind that while a TS does convey title, it doesn't convey a right to possession. That right must be gained via either voluntary move by the occupant or eviction.

LPSASAP is usually prompt in reporting trustee sale results. So, you probably know by now.
 

EKnight

LoanSafe Member
Nov 6, 2011
17
0
0
Washington state
I was ready for battle to get a fair C4K offer. I called 1-800-FREDDIE as instructed on the document (and by the RE agent via phone)...and...had to leave a message. They did call back, but before that happened I contacted the RE again via email who replied that there would be info coming that he would send. I replied that I needed more info so I could start making plans, stressful times, etc. etc. He wrote back that the usual offer is $3k to be out in 30 days from the notice, following his inspection. That's what I was hoping for, so as long as that is the truth, I'm in good shape.

We're 90% moved already and will be able to get the rest of our things and make it "broom clean" before 30 days are up. So far, so good...
 

izzle

LoanSafe Member
Aug 11, 2010
214
1
18
Vancouver WA
*** Update: Post foreclosure / dealing with BOA (sold out junior) / credit reporting

I just realized I haven't posted an update in a while...

Actually there is not much to update on. There are a few random things.

Credit report
1. First mortgage was still showing as active/late 120+ days on my credit report.
There was no indication of foreclosure. Keep in mind, the trustee sale was back in July 2011. I figured something should be updated by then. So I contacted the servicer (Provident Funding) to see why they never updated it. I talked to someone who said they would get it updated... I waited another 2 months and nothing was updated....

So I then initiated a dispute with the credit reporting agency. Within 45 days the credit reporting agency updated the account (closed the account, zeroed the balance, and stated in the comments that the loan foreclosed).

2. I also disputed an old credit card account that I had used years ago and had no activity. I had tried to call the lender to close the account and they had no record of an account in my name or SSN. Within 30 days the account was deleted from the credit report.

3. I also called up another credit card company (not Bank of America) that I had a huge limit and zero balance, and asked them to cut the limit to around 3k. I do not need that much credit, and when I was contacted by Bank of America (Sold out Junior) last summer they asked me to take a cash advance off that credit card. I figure reducing the limit will take that option off the table when negotiating with Bank of America

I then reran my credit score and it dropped about 5 points now that the foreclosure was listed, credit card was purged, and limit lowered from 15k to 3k on the other credit card..... Went from 650 to 645.

Since there are 3 Credit Reporting agencies, I will need to repeat with the other 2. Sigh....

Sold Out Junior
2. Second (BoA) (Sold out Junior). Have heard nothing from them since I demanded that they Prove the Debt and all assignments. Not sure what they are waiting for... Perhaps they can't... So I wait....

Taxes
Ahhh, everyone's favorite topic. This is somewhat a mixed bag. First, I am fortunate to have remained employed. The problem is that I no longer pay all the interest to the bank so I lost the interest deduction.... This is the first year since college where I will only be able to claim the standard deduction.... I now have to write a large check to the IRS this year....

Cash for Keys
Keep in mind, Cash For Keys (C4K) is taxable income. They need your Social Security number before they will pay. When they payout the check there is no money withheld. I just received a 1099-Misc for my C4K payout. Since I am in the %25 tax bracket, I had to give back $750 of my $3000 C4K to the IRS. :evil:

1099-A
So far I have only received 1099-A on both my first and second loans. TurboTax states that I should "keep this record in case I get a 1099-C that indicates the debt is actually forgiven."
 

TomEason

LoanSafe Guide
Jun 18, 2009
12,390
85
48
SF Bay Area CA
izzle

Thanks for your update.

FWIW, I'm providing you with information you might find useful regarding the correction of your credit reports.

To ensure that a correction is permanent, the furnisher (reporting creditor) of your account must agree to make the correction. If a consumer writes only to the CRA(s), their removal of the contested item is often not a lasting correction. Why? because the next time your creditor reports, it will simply reappear on your credit file.

So, I recommend you send your correction demand letters to the source, the account holder.

An added advantage is that a consumer need not write letters to three CRAs reference only one creditor account. Simply writing to the creditor should do the trick. That is, if the correction is required pursuant to the provisions of the FCRA.

Good luck.
 

jakester

LoanSafe Member
Feb 16, 2012
13
0
0
izzle,

I encountered this tread while searching for info about impact to credit. You are apparently credit-aware and have tools to keep an eye on credit.

I am about to cease paying my HELOC in GA. My credit is 776. My only other debt is primary mortgage, a pile of student loans that are about to be consolidated, and a bunch of revolving accounts, of which only AXP and visa are ever used. Could you please offer guidance on:
  1. how you are tracking your score - are you paying for a service? I only know mine because my primary lender told me while I am in the process of HARP refi
  2. is there any possibility of maintaining useable credit score while I have ceased payment on the heloc?
  3. depending on #2, what should I do to keep the score as high as possible? Would a new car loan that I keep paying on help? I read that you were initially hesitant to take on new car loan, but ended up doing so out of necessity. Do you think it helped your credit in the end? Also, I saw your post about asking CC to reduce your credit limit. Was that impactful on your credit, or just an attempt to nudge BOA settlement?
If it is a lost cause (question #2), then I won't sweat it, though knowing will be helpful from a preparations and mindset perspective.

It is GREAT that you have documented your journey soup-to-nuts (well, it sounds like the nuts have not been served yet) for the benefit of all of us. Thank you!! I look forward seeing what eventually happens with your SOJL.
 

droflex

LoanSafe Member
Jan 28, 2012
10
0
0
54
Hi Izle,

I am in Sno-Co Washington.

I was going to try and fight it all the way with the courts but people have pretty much convinced me that it is a waste of time/money and I thank them for that (you know who you are).

You, and others, refuse to try a HAMP mod because of disclosing financials. This is non-judicial, they can't get anything other that the property if it is a refi and there is only a 1st and no 2nd right?

I have a business which is an LLC. I can write my own paycheck and make it as large or small as I want (right now it is pretty small, that's one reason I am not making house payments).

I believe the business is protected because it is an LLC.

If all I have is a bank account that has not much in it what should I worry about as far as financials?

I do have some stuff like quad's, seadoos, motorcycle, trailer and an RV (that I might have to live in after this is over).

I don't think I even need to disclose that stuff because it is a non-judicial thing and they cant come after me for the deficiency. Am I wrong?

I would think that if they really wanted to know what is registered "in-my-name" they could find out through the DMV without me writing it down for them. I am probably going to have to sell a lot of stuff just 'cause when I move I wont have room for it anyways. Plus I don't even get any enjoyment out of much anymore except sleep.

I am at the point where I need to drag this out as long as possible to save money (unlike what you were doing).

I am thinking HAMPster wheel but you seamed not remotely interested in that approach. I understand that you had your rental property to move to.

Bottom line: I'm wondering why not disclose stuff and use the HAMPster wheel if I have nothing that they can take from me except the property.

Tell me what I'm missing please.

Thanks!

P.S. If I do Cash4keys the money would go to the IRS anyway 'cause I owe them from the past.
 
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chamberss

LoanSafe Member
Feb 23, 2012
1
0
0
Not Too Late

Also a Vancouver-ite, I am in the boat of people that thought they could get a short sale through SunTrust. Last minute they didn't have a BPO valuation and wouldn't asked for a foreclosure sale extention, this was after sitting on it for 2 months. Now I have the second mortgage also owned by SunTrust that prior to all of this was at $75K and no clue how that is going to settle out. Just had the foreclosure sale last Friday, 2/17/12, and now I am waiting to see how they come after me for the second. I did get a short-sale through Nationstar last month and that was relatively painless if you don't count the $250/mo I will be paying for the next 5 years. I really believed that the short sale was the way to go and that SunTrust would work out as well. Now they have all my financials and I am at their mercy. I am so sorry that I did not read this thread back in May when I missed my first payment. Yes, I had a foreclosure sale go through within 9 months of missing my first payment. Thank you izzle for your journey notes. If anyone has any information on what happens to a 2nd mortgage after a short sale when they have your financials, I would love to hear it.
 

izzle

LoanSafe Member
Aug 11, 2010
214
1
18
Vancouver WA
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Octanefam

LoanSafe Member
Dec 8, 2011
136
1
0
For those that have thought about going to these lunches but haven't for whatever reasons I suggest you go. Izzle is VERY knowledgeable as we all know and he has some great information. I missed the first one that he did in Tukwila but then KENTWALK did one in Bellevue and we had a great turnout and to my surprise IZZLE came as well.

Thanks
 

Purplehaze

LoanSafe Member
Feb 6, 2012
17
0
0
Any Advice? Snohomish WA

We live in Snohomish County. I am new to this forum and thought I would share since I have been searching it for information. We missed our first payment on Feb.5th. We have a modified B of A loan. Our value is on the conservative side 100,000 under maybe more since the house down the street just went up for 160,000 and we owe 330,000. That helped push us over the edge, since we only plan to live here a few more years. Our fico is 748. We will continue to pay all other bills. Today, Feb 28th in the mail was a letter telling us we missed our payment and will be charged a fee. We closed all accounts with B of A. How soon do the phone calls start and what is the proper procedure for handling them? Any advise on what to expect from B of A would be appreciated. Thank you:)