Posted on: 25th May, 2010 10:03 am
We have a second home that is upside down and we want to get rid of it but don't know how. We bought it when I worked 100 miles from home and thought that real estate was a good investment, NOT!!! In 2004 we paid $180,000 for 2 bed/2 bath condo, We owe $140,000 on it and they are short saleing one across from us for $69k. We don't know what to do, as it's difficult to keep paying even though we did a loan mod on it last year. We rent it occasionally, but only for a month or two. So this doesn't nearly cover the costs involved. Any ideas what we can do?
Believe me, I understand how bad you would like to get rid of the place, but the smart decision is probably to try and hold onto it. You say it's "difficult" to keep paying, but not that you can't afford the payments since you did the loan mod.
So, if you can manage to keep up with the payments, rent it out as much as possible (why can't you get a longer-term tenant in there?), and wait for values to rise again, that's what I would do. Sure, it's painful, but it's better than short selling and taking a bit hit to your credit scores, etc. I'm interested, what part of the country do you live in?
So, if you can manage to keep up with the payments, rent it out as much as possible (why can't you get a longer-term tenant in there?), and wait for values to rise again, that's what I would do. Sure, it's painful, but it's better than short selling and taking a bit hit to your credit scores, etc. I'm interested, what part of the country do you live in?