Upside Down, Washington Mutual

[SuzieQ]

Hello all, I am in a home that is worth about $75,000 less that what we owe. We purchased two years ago and our mortgage is about to reset. We have made all our payments timely and have worked very hard to rebuild our credit from where we were before so that we would be able to refinace before the reset. Who knew the bottom would drop out on home values in the meantime!! That said everyone has advised that we should contact our lender Washington Mutual before we are delinquent to get help. However, when I call their Loss and Mitigation department they tell me that they cannot help us because we are not past due. Also, our loan has been sold and they are only the servicer, thus nothing can be done. I asked who held the loan and was told it had been wrapped up in an investment package and no one had the authority to make a loan modification until I was delinquent. Is this true?? You would think they would want to help someone out that has made all their payments and could continue to do so at a fair rate. We are currently at 6.7% it will go up to 7.825% - I know that doesn't sound so bad compared to some of the other stories I've read, but since it can reset every six months it will just continue to go up and eventually we will loose this house. I'm trying to be proactive but am hitting stone walls everywhere I turn. Any advice, or even a reality check, would be appreciated.