All Forum Posts by: Melody Ryles

We are dealing with a Mortgage Company.

We did get the letter and it states that since there is a past due payment history on the loan they are unable to sell the note. Also the taxes are past due so they will foreclose based on this.

Taxes are considered Past Due by the county in October and will be paid prior to this.

We were late on payments but not in over a year.

They are also saying there was fraud on the loan by the mortgage company. They made the loan with no knowledge that we were renting the property at the time. Since I was a Realtor (I am on a leave of absence till the first of the year) I would have known of the fraud.

However, when we filled the loan application it included the lease agreement and the copy of the checks for the lease. WE made disclosure of the rental but it seems the BROKER did not.

Yes, I agree the Company has the right to foreclose based on payments not being made and the taxes being past due. Absolutely, no problem.

However, the taxes are not really past due and will be paid before they are(Oct 5th). The payments have not been late in the last year and they have collected and cashed all of them, even the September payment.

My attorney is going to send us to a foreclosure attorney but he also made the point of saying that us seems they are set on getting rid of the loan no matter what. He thinks they are in fear of the current state of the mortgage industry and I personally can't blame them.

However we are a performing loan with no issues in over a year and that is far better than alot of other loans can say. :cool:

We are not going to refi or sell and plan on fighting the foreclosure. Until I go back to work it is not something we wish to do.

So, for now....we will plug along and hope that he gets the idea that a PAYING mortage is actually a GOOD thing.

Thanks for the replys and I will try to keep this up to date. If nothing else, it makes for interesting reading.

We just got an email from the company holding our note. He is calling the note due. Let me go over a few of the fact so people can better help.

The note went into foreclosure about 2 years ago when we got past due but we brought if current with all shortly after that happened (19 months ago).

The taxes are indeed past due but not up for tax sale for 2 years and we usually pay in November. Yes, that is 6 months past due but still there is no tax sale pending.

Since we got current we have never once been more than 15 days past due and we always pay the late fee when we are late.

There is no ARM or balloon payment.

Insurance is current.

When we first got the loan I was working full time as a Realtor and found it best that my name not be on the loan...being self employed and all. We left me off it completely and were able to make the loan based on my husband alone.

The load was refi for 97% of the value. We did default a few months after we got the loan but like I said, brought it current.

The loan is 2.5 years old and we have owned the property for six years. Primary property.

Here is the email we got from the investor.

The fraud he is referring to was that we had the house for sale shortly prior to the refi. During the refi it was never up for sale and as you can see, we are still living here today.

He also stated there were some fraud on the lender side but did not share with us what those are since it was the broker and not us that were at fault.

All that is the background for this situation. Even with the past due issues, the past taxes and the broker issues from over two years ago, we are still current on the loan.

He is also aware that we are paying the taxes in November (like we always have).

Because the taxes are past due, I know he can call the loan due and that is fine. But I want to make sure that calling a loan due means that he will need to go thru the foreclosure process? With all that entails.

Would the courts support the foreclosure based on this? By the time we got that far the taxes would be paid but we would owe for 2008.

What should be our formal reply to him once we get his letting in writing?

This is my first post but I have lingered reading in the forums for a while. So I want to thank you in advance for the help you will provide.

Melody