My original loan was full of mistakes. Seller pressured appraiser to up the value. The contract I signed at closing was not the same one I reviewed the day prior. The GFE and everything up to signing were acceptable, yet the final contract had me paying an 8.75% IR for lender paid mortgage insurance AND regular PMI on top. This caused about $400/mo additional payment. Countrywide said I was at fault for not reviewing final contract carefully. We had emails & prior documents that the loan was to be 8.75% w/lender paid MI - it did not include borrower paid MI. We got really behind, but had the loan modified to a 6% 40 year loan. We never got caught up after the modification due to my spouse and I being laid off. We are now in foreclosure. Can its validity be fought based on first mortgage?
