Reverse Mortgages-Can a Loan Modification be done for the remaining Heir

[lillyq1985]

There is a situation where my dad had a reverse mortgage with Reverse Mortgage Solutions he dies 3 years ago and the house is in my name, via Quick Claim Deed while he was alive. The house went into foreclosure and scheduled to be sold in the public auction, but I did a Chapter 7 BK to stop the sale. It has been discharged, but they pushed for the sale once again, so I did a Chapter 13 BK, it was dismissed because they didn't get some paper on time. So 3rd sale date was set and I did another Chapter 13 BK again to stop it.

 

I got a notice from an Attorney about doing a loan modification on my behalf. They would negotiate to have the balance reduced and I would get a mortgage with lower payments. Please help!!!

[tiggerlgh]

I️ thought on reverse mortgages the total amount due is due at the time of the mortgagee’s death. I️ didn’t realize payments were an option so you may be lucky already. I️ am not sure about the modification but do not pay the company a cent but I️t may not hurt to look into.

[Kuuner]

I️ thought on reverse mortgages the total amount due is due at the time of the mortgagee’s death. I️ didn’t realize payments were an option so you may be lucky already. I️ am not sure about the modification but do not pay the company a cent but I️t may not hurt to look into.

I don't think you have a case. The only payments due on a reverse mortgage are for taxes and insurance. The concept of a reverse mortgage is that balance is due upon the death of the borrower. Willing the property to you does not remove that obligation. You would have to pay the balance off or lose the property at sale, from what I understand.

[tiggerlgh]

Kunner I️ didn’t think they did. But if the company says they can I️t doesn’t hurt to look into but I️ wanted to stress to OP not to pay them (never should mods are free) but this sounds like a scam.

 

Yes payments are as I️ thought which is why I️ was shocked they were letting OP have a monthly payment anyway as it’s due on death if the mortgagee (or when they move out of the home).

[DollarDog]

You filed bankruptcy 3 times to save the house.

 

And your attorneys have no idea how to help you?

[Kuuner]

Kunner I️ didn’t think they did. But if the company says they can I️t doesn’t hurt to look into but I️ wanted to stress to OP not to pay them (never should mods are free) but this sounds like a scam.

 

Yes payments are as I️ thought which is why I️ was shocked they were letting OP have a monthly payment anyway as it’s due on death if the mortgagee (or when they move out of the home).

Agreed...

 

Sounds like a 3rd party offering to "help" them get a mod? If that's the case, depending on the state, it might be illegal to charge for a mod. It might require state licensing also.

[breeze]

You filed bankruptcy 3 times to save the house.

 

And your attorneys have no idea how to help you?

 

Is this comment intended to help?