Stop drawing down your IRA until after you have consulted a bankruptcy attorney. Generally you can go through a chapter 7 and keep your IRA. A chapter 13 may provide options also as far as keeping your house and getting a modification.
I provide a free 15 minute telephone consult for security deposit claims and eviction defense. No attorney-client relationship is created by answering questions in this public forum. If you wish to create an attorney-client relationship, you must contact me directly and sign a representation agreement. Answers are provided based on general ideas and an answer specific to your situation would require a review of all documents.
Getting a loan modification is not mandatory it depends alot on your providing the lender with the
correct information To get a loan modifciation you need to show that you have sufficient income to pay your normal living expenses and have enough left over to show you have funds to pay the modified loan amount as may fit into one of the Federal programs or the lenders programs. It is possible, being you are unemployed you cannot meet this requirement. Also it depends on the value of your home verus what you owe, maybe your situation does not fit into the requirements of the programs you might be eligible for.
You may want consult with an attorney in your area who handles mortgage foreclosures and loan
modifications to assist you in reviewing your situation to find the best situation. Perhaps an alternative other than loan modification is something to be considered.
Answering this question is for educational purposes only and is not intended to establish an attorney client relationship