Citi (DERU) refusing to re-fi, don't rate a mod, and PMI Group in bankrupt so other lenders balk. Any ideas?
I am an active duty military member, purchased a home while stationed in Puerto Rico in 2007, currently stationed in Texas. It's now $100k underwater and stuck at 6.6%. It's a Freddie Mac loan serviced by Citi. I have exhausted my options at Citi vice a short sale because I do not want to screw over my nieghboorhood. Citi refuses to originate new loans in PR (there goes an in house HARP) and I don't qualify for a mod due to good financial status (besides throwing away $1700/month into an empty house). I have tried every (literally) bank in PR but they all walk away as soon as they find out PMI Group LLC holds the MI (restructuing).All I want to do is take advantage of HARP and reduce my interest rate, no desire for a handout. I have sent letters to Mr Das at CitiMortgage-no avail. I started this effort in August of last year and have made zero progress, it's brick wall after brick wall. I know the PR aspect is challenging but there has to be someone out there who knows something I am missing..Thanks much,Ian by Frustrated from Houston, Texas. Mar 26th 2013
Bert Carpenter (BertCarpenter)
#37 ranked lender in Arizona - 2,431 contributions
Sadly, your only real options are keep paying while waiting for values to climb and then you may be able to sell out of your problem or short sale / give it back. The problem is no new lenders want to take on the added risk of your upside down loan, especially if the PMI company is on the rocks. I know you want to do the honorable thing, but sometimes the honorable thing is to do what is best for your family. Look at the transaction as an investment. If you had bought 100,000 shares of a "sure thing" and now the company is going down the drain through no fault of your own, no one would fault you for dumping the stock on the down-slide, even though your sale will hurt the other investors that are still hanging on. If the big banks can make these kinds of decisions based on "It's a business decision", then so can you. If it were me, I would not be dumping $1,700 a month into an empty house. If you have VA eligibility, you should be able to get back into another home using your VA in two years, maybe less. The smartest move you can make is the one that is best for your family. Good luck. ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ Licensed in California and Arizona ~ www.LoansA2z.com 888-889-9950
Peter Savino (855411LEND)
#99 ranked lender in New Jersey - 332 contributions
I am sorry I can not help you with answer. Hopefully some of the great loan officers on this sight can.
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