We were "approved" by Wells Fargo to complete a mortgage assumption. It was during this process that we learned we have a SILENT lien on our house from a 2013 Hud Partial Claim. We were shocked- long story. Fast forward. We now cannot complete the assumption WITHOUT the "due on sale" clause being triggered because its a "sale" regardless of it being an assumption.
There is NO way we have 70K laying around to pay this. Our "buyers" are aware of the lien and are FINE purchasing the home with said lien. I am trying to get HUD to approve the assumption without removing the lien or it being triggered to be paid in full. Wells Fargo is USELESS and every rep we speak to knows less than the last. And because our mortgage is current and there are no "issues" it seems no one is in a hurry to help us or tell us what we can do if anything.
We have considered the short sale route, but even that has to be approved. We are not in default or behind and have been in good standing for nearly 3yrs now with our mortgage and we would like to keep it this way. We do not know what to do at this point and feel shackled to the home. Do we have ANY options? The home is underwater and now tack on to that 70K- there is no way we can sell it for 337K - which would be the all in. The home is valued at around 220-240 and the outstanding balance is 266K.
Wells Fargo seems to be stalling us now since we requested all the documents on our loan payment history since they took over the loan in 2007- the numbers just dont seem to add up and even after HUD stepped in, our principal did not budge with all the payments having gone mostly to interest and escrow. Our principal is still high and we were never modified which is what they were supposed to do in the first place. After telling us we had to be in default and fall behind on our mortgage to qualify for ANY assistance and us doing so (regretfully) we are now stuck in limbo and no one seems to give us an answer. We have spoken to over 15 people between HUD and Wells Fargo and everyone says something different.
ANY insight on this very confusing situation??
THANK YOU
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Replies
Sorry to hear about the difficulties. Partial claims are generally placed on property's as part of loan modifications for FHA borrowers.
Wells Fargo is a tough servicer. If you can't have the loan assumed and want to get out from under the house, I'd suggest attempting a short sale. The partial claim is generally paid in full by the servicer through a short sale.
Call me if you want to speak or explore that route.
310-564-6389
www.ishortsalenow.com
BGold@acgnow.com