IFs

Tomorrow we are signing a lease and getting the keys to our new rental home. I actually feel relieved and glad to be moving on, but I also know this isn't the end of the foreclosure chapter. I hear it may take over a year to close this book and start anew rebuilding our credit. I'm ready to get this behind us. (And I have 2 months to move stress free...so we got that going for us:)

I've talked to tons of people, friends, acquaintances, Realtors, mortgage brokers, relatives, neighbors...and nobody has anything good to say about BofA. I haven't found one instance where BofA has helped anyone refinance or modify their loan. What I have heard is that BofA only cares about helping the home owners of half million dollar plus loans. Folks with loans under 300K aren't worth their time and the loss isn't as big to them.

I have also heard that the lender takes an average loss of $60,000 per foreclosure. And lenders who hold the second mortgage takes an even bigger loss. It just doesn't make sense that they won't help someone willing to do anything to keep their home.

The other thing that baffles me is they sent back the check we sent to them and said they couldn't accept a partial payment. If I owed you $2000 and I sent you $200, you wouldn't give it back and say thanks but I need all or nothing! NO, you would take it and say I still owe you $2000 and you're keeping the $200 as interest! Clearly, they are idiots!

As I said, we will get the keys and sign the lease tomorrow. I'm 99.99% positive that they are never going to modify our loan. I am also 99.99% positive that if they do offer a modification, we won't take it anyway. Here's why:

We have lost almost everything - our savings, our retirement, our good credit and our pride. We are in our mid-40s and still have time to rebuild and save for our future. But we need to start now! If we keep our home, under any circumstance I can think of, we are tied to this home and the debt it brings long term. IF the economy picks up, we'll be fine and I'll start making money selling real estate again. IF the economy picks up, I can feel secure in the longevity of the jobs I have now. IF the economy picks up, Brian can feel secure in the job he has as well. BUT, IF the economy doesn't pick up...we will NEVER be able to get ahead and rebuild our finances. We will be tied to this house and in 5 years when the so called modification period ends, we will be right back at square one and have nothing to show for the struggle we went through to save this house...this box with windows and a roof. So, I have to say this house isn't worth the IFs! I hope you agree.

UNBELIEVABLE

Today I called BofA...but this time it wasn't to fight for a modification. I've given up on the idea that BofA will help us...because clearly, they won't!

Instead, I called to find out information about some alternatives to foreclosure that I recently read about. After waiting on hold for 15 minutes, I get through to a live person who asks for my account number/info and then tells me I have to call back because his computer is rebooting! LIAR...or maybe he is psychic. Our file must be soooo large that his computer couldn't hold all the information! I refuse to call back and asked to be transferred to someone else and he put me on hold for another 20 minutes. I am pretty sure I was lost in the BofA phone system and forgotten about so I hung up and hit redial.

After 10 more minutes on hold, I get another live person and you won't believe it but, we have a Sale Date and are in Foreclosure! I'm so glad she told me, I wasn't sure the 20 letters and the other 15 people who told me were being truthful. Thanks for the info, but here's what I need to know now...

I called to ask about a Deed in Lieu of Foreclosure and a new Obama program that starts on April 5th called Affordable Foreclosure Alternative Program (AFAP). Side note: I decided that since I am forced to go through this that I might as well take a class on Foreclosures and Short Sales and become an expert on the subject! The class is where I found info about these two possible alternatives to foreclosure.

Just as I thought, the BofA rep didn't know what the AFAP was. I already knew it was too late to try to sell our house and do a Short Sale. BofA strung us along too long, so that option is off the table. And as for the Deed in Lieu of Foreclosure, we would have to have our house on the market at fair market value for 90 days before that would consider it. I'm wondering now why BofA didn't give me this option or even tell me there was an option like this during our thousands of hours on the phone together.

Now here's the good part...the rep asked me if I had considered or tried to get a modification! You can only imagine the ear full she got from me! She put me on hold to look at my file more closely (and probably cry) and she came back with-"it looks like you are still in review and they are just waiting for the information about your insurance, but you are currently in a workout." UNBELIEVABLE!!!!!!! Now imagine MY response to that........poor poor lady on the other end of the line! (The first guy's computer did him a favor by shutting down and rebooting!)

Next Steps

As per usual, I called BofA today. I wanted to know what the next step is in the foreclosure process and what we can expect. As you may well know, I don't like surprises! Which is one of the reasons this is so hard for me-it's out of MY control!

They said we can expect an eviction notice next and that would tell us what to do. They couldn't tell me when that would come or what it would say. BofA should get some smarter reps!

I also asked them who is responsible for the insurance and taxes and found out that they are but we would be ultimately responsible when we are taxed on the loss to the bank.

So off to the accountant we go...now my energy will be focused on minimizing our tax burden. We might talk to a bankruptcy attorney as well...stay tuned!