First of all, do not try to buy your home back. You will need to sign an legal document that states the transaction will be arms length. You could get hit with all sorts of civil or criminal penalties or actions if you sell your home in a non arms length transaction, yet signing an agreement that states it is an arms length transaction. Thats fraud and you don't want to travel down that road.
If the home goes to a Trustee's Sale, you can buy it back without penalty, and perhaps at a very good price, much less that what you owe. If no one bids on the home at a Trustees' sale, it will most likely be listed with a real estate broker at a very competitive price weeks down the road. You would also have the opportunity to make an offer on it at that time. Since that names match, the lender would look very closely at the purchase documents and might be biased to another offer if in a multiple offer situation. Some banks or aset managers may not allow a sale back to you, it depends on policies of the investor who makes the final decision.
If the loan modifaction is not allowed, you can try to refinance it with private or governemnt sponsored programs. Or you can complete a short sale if you qaulify for one with your lender. Most Realtors can handle this for you, but you need to make sure they have experience in processing short sales and have a high sucess record. You can also file for bankruptcy which will stop the foreclosre temporariy, while you try to work through the issues. This is an extreme measure and you need to consult a bankruptcy attorney and a credit couunselor before choosing this option. Good Luck! Mike Castle Realtor, Certified Short Sale Specialist,
American Dream Realty, Santa Cruz, CA License # 00620895. Over 30 years of real estate sales experience(831) 588-1988