Looking for help in NJ

[Joel Fraser]

Hi, This is our story. We purchased our 1st home in May 2006. We had a fixed rate at 8.75 for 30 years BUT we had a PMI payment of YES an additional 1012.00 a month added to our monthly payment that brought us up to 3618.00 a month. We found out about the high PMI at closing. We struggeled to make that payment for 9 months until we refied to a 9.99% adjustable rate. It brought our payments to 3033.00. Savings of 600, so we jumped at it. We were told it will be No problem to refi again in a few months to get a fixed. Yeah, what a lie!! Our home is now upside down in this market by about 40,000. So no refi for us! We Cant refi anywhere, also because my husband is self employed we had to do a stated program. We have been paying the morgage before the 30 day late. So June 1st payment was paid July 1st this month. Our credit is now completly shot even more so because I havent paid any credit card bills so I could make the morgage payment. Our rate is to adjust for January, 2009. With my husband being a self employed truck driver our fuel cost has increased about 2500.00 a month. I WILL NOT BE ABLE to pay the morgage once it resets. But I am having a hell of a time paying the 3000.00 with our increased business costs and sluggish economy. His business directly relates to the economy. I have Select portfolio servicing for my morgage, do u think I should contact them and ask them for a loan mod. I just dont need them to freeze my interest I need to have it lowerd to at least 7% to get through this mess and hopefully the economy will rebound and we could sell. I am at a complete loss as to what to do. Hubby and I have started arguing over this. He wants to sell because we cant afford these payments anymore and we are afraid of the adjustment thats coming and I dont want to take the 40,000$$ loss. Please help me have a direction, I dont want to lose our home. I dont want to have to move my kids and I certainly dont want to lose my husband through all this tension. Thanks so much!!!