Tennessee Foreclosure - threatens to split up family!

Sheba325 · Joined: 23 Jul 2005 Posts: 6

We live in Old Hickory Tennessee and are currently in foreclosure. We have a sale date of August 11th. The home has recently appraised for $87,000, with a first mortgage balance with Homecomings Financial for $66,000 (plus fees, of course) and a private 2nd with the previous owners for $7,400 which will balloon for that amount in November 2005.

We have tried working with the mortgage company and thought we had secured a loan for the property when the lender pulled out at the last minute, of course after the lender said, don't worry about paying the mortgage, save for closing, everything will go through no problem.

In trying to secure a loan, there have been multiple hits on both of our credit, thus lowering the scores significantly and not allowing us to secure another loan and affecting our ability to get an apartment as well, since most run credit now.

We are pretty desperate - if we can not find some kind of solution, our family may need to split up, with myself and our two children moving up to Boston with my family to give them a secure place to live. My fiance has a son here in Tennessee, as well as steady employment here and would not be able to move with us.

What got us in this mess was the fact that I got laid off while on maternity leave with our youngest daughter and the delay of our oldest daughter entering into kindergarten. She now will enter kindergarten this year and I can return to the work force thus doubling our take home, but we have no more time.

The house is in my name only - not his.

I feel like we've tried everything - I don't want to split my family up - any suggestions?

Good thing that I looked at the email before the response on the forum - I would have been overly excited that you had found us some options.

As I stated in my email, our mortgage company will NOT work with us. What if we refinanced only the 1st mortgage? That should give us 25% of equity, correct? Also, the house is in my name only - could we maybe obtain a loan to have my fiance purchase the property? How about a home equity loan?

I was hoping minimally that you could give us some additional options to look at - would any more information be of help?

Please take one more look and let me know asap - thank you!

The Mortgage-Pro · Site Admin Joined: 19 Jan 2005 Posts: 2248

We will be responding to your stop foreclosure mortgage refinance request via e-mail.

Sheba325 · Joined: 23 Jul 2005 Posts: 6

Even if the 2nd is by the owner and they would agree to the refinancing?

And, if not - what about any of the other options that I suggested?

And, if not - what about a quick sale? There is some equity in the home -

Thank you -
Sheila

Sheba325 · Joined: 23 Jul 2005 Posts: 6

You guys are the leaders in offering options - There's got to be some other option for my family than just walking away for $13,600 in equity -

Sheba325 · Joined: 23 Jul 2005 Posts: 6

And, we only owe $5000 in back payments with penalties - come on - anyone have any ideas for us?

The Mortgage-Pro · Site Admin Joined: 19 Jan 2005 Posts: 2248

Sheba,

I can understand your frustrations. Do you have a family member who could loan you the money? To qualify for bailout loan, one typically needs 30 to 40% equity in there home. Mortgage lenders are really conservative when they are dealing with folks who are in foreclosure.

You currently have 10% equity in the property once you figure all mortgages, closing costs and late fees.

Sheba325 · Joined: 23 Jul 2005 Posts: 6

Thanks for taking another look - just trying anything that might work. If anyone has any additional mortgage ideas, they are welcome.

Sheba325 · Joined: 23 Jul 2005 Posts: 6

Well, we've started packing the house and will all of the plumbing problems that we've been having - it's like the house is telling us to not hang on any longer and leave. But, as I look aruond and see the little swatches of wallpaper and how we painted my daughter's room with blue sky and clouds - I'm getting a little emotional - I mean, so many dreams are tied up in a home. And, the hope towards the future -

I know money doesn't buy happiness, but is wanting enough to pay your bills too much to ask.

The more important thing is ringing true though and that's keeping the family together. We may have found an apartment in Old Hickory where we currently live, but who knows what the credit report will bring up. Damn things - I wish all of their computer systems would systematically blow up all at the same time - with no data retrival possible.

I hope all of the rest of you are hanging in there and just trying to get through it - lean on each other and support each other.

Take care -

The Mortgage-Pro · Site Admin Joined: 19 Jan 2005 Posts: 2248

Good luck!