Indymac Success Modification!! Thank you zinomortgage!

[Mike]

My husband and I purchased our home in Tracy, CA Sept 2006. We didn't think the market could get any worse, but of course it did. We purchased our home for $524K and the assessed value is now at $385K (as of Jan 2008, but I'm sure it's lower than that now). We are on a 5 year fixed rate of 6.5% IO on our first and 9.75% P&I on our second. Both loans are with Indymac. We have 3 more years with our fixed rate on our first, but with gas prices rising over $1 per gallon the last year (my husband and I are commute to work 50 miles one way), auto insurance increased $1800 this year because one of my twin daughters is driving, and our value declining, paying the monthly payment was a struggle. We have never been late on our payments as well. We really started to contemplate if we should walk away from our home (we also own a manufactured home in the bay area that is a rental) All of these issues brought me to begin to do research on the web. I started to read up on loan modifications. So I called Indymac on June 26th and asked to speak to the Loan Modification dept. I gave them my story above. They asked me to prepare a financial statement, a hardship letter, proof of income and 2 months of bank statements and fax it to them. I gathered all my documents, but before I sent it off I did more research on the web and found zinomortgage.org. I read some of the blogs and adjusted my financial statement to show $250 difference between my income versus my debt. I received my first correspondence from Indymac on July 6th acknowledging receipt of my documents and it said to give them 30 days to have an analyst review my paperwork. Our situation didn't seem as bad as others on this board, but it wasn't going to hurt to try to see if Indymac did anything for us. I continued to read all of the advice on zinomortgage.org and took Cat and Indymac Fighter's advice(s). I emailed Eric Friedman and Mitch Oringer on July 17th. I received a reply from Mitch the very next day. He said he didn't think I would qualify since I was in a fixed rate for another 3 years, but he said he would speak to the investor and try to get some kind of modification. I followed up with him again on July 24th. He said it take approximately 30 days from when an analyst is appointed. So I decided I will wait for 30 days before I contact again. I came home this evening to find a modification package from Indymac! I couldn't believe it! I didn't have to talk to an analyst at all! So our modification is saving us $827 per month for the next 3 years. Our first mortgage changed from 6.5% IO to 4.5% P&I for 3 years. Our second went from 9.75% to 7.75% P&I for 27 years! Our loan balance is still way over our current market value, but any monthly reduction is better than nothing at this time so we are going to accept this modification. The one question I do have is does this mean we will not be able to apply for the new housing bill (once it passes) assistance once it is in effect? Thank you EVERYONE for this wonderful website! I am telling everyone about it! Thanks especially to Cat who has helped so many people including myself! -Carolyn