Borrower Fighting Foreclosure: Part 2 - Mediation Request

[Daniel E.]

Borrower has now requested mediation. What should I expect with this?

We have long been proponents of renegotiating the mortgage. But the delinquent property taxes are too high.

Borrower's take-home pay is ~ $1,500 - $2,000 / month. Her Chapter 7 lists monthly expenses (prior to mortgage) of $1,300.

As a reminder, property taxes are $12,000 past due. Best plan they will offer is $2,500 down and the remainder over 24 months ($400/mo). 

So, the way I see it, the lowest possible payment of JUST taxes and insurance is $550 - $600 / month. There is just no room for the mortgage payment. I need at least $450 of P&I on a performer for us to make the deal work. 

Anyways........how do these typically end up?

@Chris Seveney