The HAMPster Wheel Game

wanda robo

LoanSafe Member
Sep 29, 2012
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Well folks, it finally happened! I was sent a notice of "default" after trying to get my state AG to intervene with Dietech's unscrupulous practices, to no avail.
SO my plan is to stall this out as long as possible until I can sell the property, sometime in spring.
Can anyone tell me the best plan to delay this, & if I can sell it while I am in default?
Should /can I fight the default itself? I have about $30k in equity and do not want them getting their hands on ANY of it.
The best outcome is that this costs me NOTHING, I prefer not to hire an attorney. I live in a NON judicial state { WA } so I know the law is not on my side. I also really would like to avoid having to fill out mountains of paperwork and sending them any personal details like my bank accounts or tax returns. I do not trust them with my personal information seriously.
I have not responded at all to the notice of default but the I think to date to cure is the 9th so the clock is ticking...
Anyone have any advice?
I lost my previous threads and I know I had someone offer to help me....sorry I am so unorganized but if your out there....help?
:(
Melvis

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wanda robo

LoanSafe Member
Sep 29, 2012
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There is life after all this is over, the foreclosure will not stop those that keep trying. I used this thread to navigate the whole thing, and was coached, pointed in the right direction too many times to count. Long story short I went from being 100,000 upside down with an adjustible interest only loan, to being 100,000 in equity with a fixed for 30. I am about to refi to a fixed for 15 to take advantage of the low rates.

With FHA you can do all of that a few years after forclosure. I bought my house before the foreclosure, but didnt have to. I could have waited a few years and qualified. For conventional it will be 7, but far less for FHA. I still can't refi to conventional, but can with FHA and save plenty.

So keep on plugging and trying. If you can save your house without killing yourself to do so, by all means do it. There seems to be a few more options than before, but still not what the banks got out of the deal. Our bailout never came, so we have to make our own bailout. Getting over the socialization that we have all be indoctrinated to believe, that things are fair and if you do the right things then all will be fine, that banks are somehow looking out for us and the system is a fair one that includes the little guy. All of that is BS and very little of our situation was of our own doing. The jobs we either lost, had our hours cut in, loans for schooling we owe, all of that. The situation that the system has set up is to keep the wealthy just that, but more so. Play by the rules, there are lots of fun places to run on wheels, and rules were meant to be bent.

There is light at the end of the tunnel. Charge!

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wanda robo

LoanSafe Member
Sep 29, 2012
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Di Tech Financial, anyone ever hear of it?I had a countrywide loan, then BOA and now they transfereed me to Di Tech. I am currently in a HAMP since 2010 and have been keeping it just under the 90 day default date. I plan to sell with decent equity in June.

I called DiTech and an automated system told me they recognized my phone number but they don't have any documents on my loan. said it would take 10 days to two weeks. Never got any mail from DiTech or BOA about this. This delay will send my HAMP into default. Any suggestions? Also, loan discharged in BK

Any advice at all would be appreciated.

Pat in NJ
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wanda robo

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Sep 29, 2012
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Hi Acesful!
Curious, are you counting your 'months' from date of default or from date of lawsuit? ;)
Also, I get mod offers every time they 'lose' but I ignor them too. Now they are sending me info regarding my "recent requests" lol. I sorta won. Ocwen withdrew their MSJ after getting my response(s). I am ready for appeal but didn't get the opportunity. I already know they don't have the note. They are guessing and do not have accurate accounting. I find new fraud every time I get out the magnifier, but I try not to do that too often. Good luck with your arguments!
- Just Me
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wanda robo

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Sep 29, 2012
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According to the USDA/RD Servicer Handbooks that I have found online and scoured over, they use the HUD foreclosure timeline as their acceptable timeline. In Maine, that is 27 months. It goes on to state that there are times when delays become inevitable and that is fine, as long as it is documented, so 27 months in not a set-in-stone timeline. It is just what they consider an *acceptable* timeline.

Maine is a mediation state, which I imagine is helpful in drawing it out. I have been copying/pasting all the great ideas in this thread into a saved document on my computer so that I can refer back to it when I start feeling overwhelmed or confused. I'd like to thank everyone that participates in this thread and contributes their ideas! It is so helpful and reassuring.

When I first started thinking about this, I thought that if I could get 1 year out of it, I would be glad (my son graduates high school in a year), but would it be completely crazy of me to set a goal of 2+ years? I could save so much money in that time! My daughter graduates in 3 years, and part of me wants to set that as my crazy longterm goal, but I think that might be asking too much.
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wanda robo

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Sep 29, 2012
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That was one of the reasons I wanted the cash on hand now. To make necessary improvements as well as the fact that it would help us have cash on hand for a rental when the time comes for us to move. We are going to rent before we buy and will need a deposit+first month rent as well as a storage unit. Having that cash upfront before the close of sale would be very helpful for us. I am more hoping I am not shooting myself in the foot somehow by stopping payments before we sell. I don't think my credit will take a hit as the payments aren't reported.
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illstay

LoanSafe Member
Sep 28, 2011
170
1
18
Cannot believe that acefull is still spinning! That has to be a record!

Anyway, our success was a loan mod that took our payment from $1,600 down to $978, along with Green Tree extinguishing the 2nd entirely. We didn't have to pay taxes because we were insolvent but I think the mortgage forgiveness act was still in effect anyway. We are basically paying and staying since we filed BK. We were halfway thinking about renting out this house and buying another, then just letting the bank have the house after we are settled in the new house. But kids like it here and more space means less to them than leaving their schools. So maybe we can ride it out until they're gone! LOL
 

I'll Spin the Wheel Pat!

LoanSafe Member
Mar 25, 2015
40
6
8
Hi all,

I posted in the NY Foreclosure Timeline thread but my wheel spinning began here and I just wanted to give you all a shout out and thank you and, most especially, wish you positive happenings in your life that are bringing you happiness or releasing you from chains.

I think I won the game :D

- Bought a fixer-upper that was still a piece of crap after dumping tons of money into it. Hated it. Payed way too much and the neighborhood changed
- Quit paying January 2012
- For the first few years, tried for a loan mod but you know that story
- Nearly six years later, bank finally auctions off the house
- About a month before the auction, significant other and I make a large down payment on a beautiful home in a great neighborhood with awesome schools. We move in the day after closing, the house is turn key.
- A week after the auction, I receive cash for keys offer which turns out to be $6k and all I have to do it empty the contents of the house. Done.
- The next day I called the insurance company and requested a refund on my home policy that the bank paid because it was escrowed into the loan
- Come tax season (like the other day...lol) I receive form 1099a that states the fair market value of the home is 125k more than the balance owed. I assume there will be no 1099c

Whoooopie!!!!! LOL :p
 
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Speedy

LoanSafe Member
Jul 12, 2017
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50
Hello everyone,
we are also at the end of the game. The sheriff's sale is scheduled for Feb 21. Probably will file for two extensions. We thought is time to look for a place to move out. But reading Acesfull's post from Dec 18, it shows he is not evicted after 2 months of the sheriff's sale. So I hope we still have time to stay a little longer in the house.

Acesfull,
Are you still in the house?
Did anyone buy the house at the auction? or it just went back to the bank?
If the bank, can you rent it from them? and how?

Thank you guys for your help and special thank for Acesfull,

58 months and counting
Hello There, look under the ucc everything is a contract of how to tender payment, offer and if they accept just endorse your note "pay to the order of the united states treasury". Put it in writing as tendering payment. if you offer and they decline your are discharged.. dont take my word for it.. Look it up.. this is not legal advice just sharing information. Good luck!
 
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diesel73L

LoanSafe Member
Feb 26, 2015
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0
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120
Has anyone continued to rent their property while they play the HAMPster wheel game? Long story short I have a rental property that the mortgage was discharged on back in 2013 in a CH7 BK. Fast forward to now, we purchased another home and after renting out our first home for a while but had to stop paying because of other financial issues. We have good tenants who pay on time and take good care of the property. Their lease is through November of this year and I have a sense that they may want to re-up. I just got a very carefully NOI letter from the bank's attorney explaining that that they are not attempting to collect the debt (which would be in violation of the BK discharge) but rather collect the collateral. Otherwise it signals the beginning of the judicial foreclosure process here in NJ. I suppose there are two schools of thought here:

Do Nothing/Attempt a Deed-In-Lieu
Allowing the process to run its course as quickly as possible or attempting to accelerate it means that we will be off title sooner. At this point, since the old mortgage is listed as discharged in BK on our credit report and our credit scores are currently 700+, this is really is only a financial issue in terms of if we want to refinance our existing house. The other issue is just liability for the property-especially if it eventually becomes unoccupied. Also, I refuse to let the property fall into disrepair out of respect for my old neighbors who we are still friends with (we only live about 10 minutes away now)-so I'll need to hire a lawn service, keep the electric on, etc...if its empty.

File Answers/Motions in Court, Drag the Process Out and Continue to Rent
As I said, my current tenants will likely want to sign a new lease in November. Legally I would be required to inform them that the property is in foreclosure as a Lis Pendens will certainly have been filed by then. However, they themselves went through a foreclosure a few years ago, so if I explained to them that under NJ (and I believe federal at this point) law they would be protected for the duration of the lease even if the property were to be taken back by the bank that they would understand. The advantage here would be continued cash flow from the property and built-in property maintenance as the tenant mows the lawn, rakes the leaves, clears the snow, etc...

Just curious if others have been in the same situation on the wheel...
 

perplexing

LoanSafe Member
Oct 19, 2017
23
1
3
Hi all,

I posted in the NY Foreclosure Timeline thread but my wheel spinning began here and I just wanted to give you all a shout out and thank you and, most especially, wish you positive happenings in your life that are bringing you happiness or releasing you from chains.

I think I won the game :D

- Bought a fixer-upper that was still a piece of crap after dumping tons of money into it. Hated it. Payed way too much and the neighborhood changed
- Quit paying January 2012
- For the first few years, tried for a loan mod but you know that story
- Nearly six years later, bank finally auctions off the house
- About a month before the auction, significant other and I make a large down payment on a beautiful home in a great neighborhood with awesome schools. We move in the day after closing, the house is turn key.
- A week after the auction, I receive cash for keys offer which turns out to be $6k and all I have to do it empty the contents of the house. Done.
- The next day I called the insurance company and requested a refund on my home policy that the bank paid because it was escrowed into the loan
- Come tax season (like the other day...lol) I receive form 1099a that states the fair market value of the home is 125k more than the balance owed. I assume there will be no 1099c

Whoooopie!!!!! LOL :p
Was the auction price more than the balance owed? If so, you're entitled to request the overage.
 

OneHugeMess

LoanSafe Member
May 30, 2016
575
51
28
Cannot believe that acefull is still spinning! That has to be a record!

Anyway, our success was a loan mod that took our payment from $1,600 down to $978, along with Green Tree extinguishing the 2nd entirely.
Could you rent out the house for more than the Mod Payment? It's something you should consider if you do plan to leave. Avoid a formal foreclosure, and maybe even build up equity.
 
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illstay

LoanSafe Member
Sep 28, 2011
170
1
18
Could you rent out the house for more than the Mod Payment? It's something you should consider if you do plan to leave. Avoid a formal foreclosure, and maybe even build up equity.
Most of the houses in this development rent for between $1200 and $1400 depending on size and condition of the house. I think we could get at least $1300 of we rented; possibly more.
 

OneHugeMess

LoanSafe Member
May 30, 2016
575
51
28
Most of the houses in this development rent for between $1200 and $1400 depending on size and condition of the house. I think we could get at least $1300 of we rented; possibly more.
There you go. If you can rent out for $1,300 a month, you can put the rest in savings and even make a little $$$. While slowly building equity, and avoiding a foreclosure. Be very selective with tenant screening, but I think you'd do well to keep the house, if you did move.
 

I'll Spin the Wheel Pat!

LoanSafe Member
Mar 25, 2015
40
6
8
Was the auction price more than the balance owed? If so, you're entitled to request the overage.
You know it sounds very simple but it was not black and white and I am grateful to walk away. I owed them a ton and there is a court sale record that shows the deficiency but at the end of the day, the 1099a only shows the principle owed and magically the market value of the house is enough to cover it.
 

razmik

LoanSafe Member
May 6, 2012
241
8
18
California
Hi Razmik

My playing is close to the end. Sheriff sale scheduled in 3 weeks probably file for two extensions.
I hope all is well on your end.
Best regards
Nj-83 months
Acesfull
Hello my friend! Remember me from Los Angeles, La Canada area going to the 10th year...wow...I don't Believe myself...Still not foreclosed yet. Paying a monthly fee to lawyer to fight or negotiate with MR. COOPER which is sold to another company. They accepted my request to modify and pay 3 months of trial payments which was almost double of what I was paying. I did it for 2 months about $7,000 a month but stopped by lawyer's idea. She said lets submit another mod request. The servicer is calculating based on 20 years amortization with a higher rate and higher tax and insurance amount. Anyways, just wanted to touch basis and see how are you doing and where are you with your case
 

razmik

LoanSafe Member
May 6, 2012
241
8
18
California
Hello my friends! Remember me from Los Angeles, La Canada area going to the 10th year...wow...I don't Believe myself...Still not foreclosed yet. Paying a monthly fee to lawyer to fight or negotiate with MR. COOPER which is sold to another company. They accepted my request to modify and pay 3 months of trial payments which was almost double of what I was paying. I did it for 2 months about $7,000 a month but stopped by lawyer's idea. She said lets submit another mod request. The servicer is calculating based on 20 years amortization with a higher rate and higher tax and insurance amount. Anyways, just wanted to touch basis and see how are you doing and where are you with your case
 

baba!

LoanSafe Member
Feb 1, 2013
63
1
8
Hello Razmik. I'm in NY, doing much of the same you are doing with out the monthly payment to a lawyer. Mr. Cooper also is, my servicer, still receiving monthly mortage statements from them. I have to be close to six years playing the game.
 

razmik

LoanSafe Member
May 6, 2012
241
8
18
California
Hello Razmik. I'm in NY, doing much of the same you are doing with out the monthly payment to a lawyer. Mr. Cooper also is, my servicer, still receiving monthly mortage statements from them. I have to be close to six years playing the game.
Thank you baba! for sharing your story. I had to do that after all these years because they have a sale date and renew it every month. It doesn't go away. If I don't have a lawyer they will foreclose...