My 2nd mortgage was done through a private investor in California. We have our first through Ocwen which is current. We originally had our first with Indymac but they sold it to Ocwen. We were able to get modification with Indymac after 2 years and Ocwen upheld it when they bought the loan.
Unfortunately, we have been unable to pay the 2nd which is only $750 but, due to lose of my husband employment we are just scrapping by. We have not paid since. January. They started the foreclosure process March 17,2014 and I believe a sale date will be set in a day or so.
Our first mortgage has a balance of 558k and it has been appraised by someone we hired for 535k and the county has assessed it at $550k.
My question is the 2nd does not want to work with us at all. They are moving forward with the sale date. What could they possible gain from it? One it sells I highly doubt anything will be left for them. They have also asked us to place their address as the new forwarding address after the foreclosure is done. It appears that they want to try and continue with our first mortgage which is at 2% due to the modification. Can they do that? Don't they have to pay the first outright after the sale if no one buys the property with both loans? We are probably going to file chapter 13 as we spoke to a few attorneys last week.
Again what could they gain from foreclosing on us? Wouldn't it be beneficial to keep us in the house and work out a payment plan?