Posted on: 06th Dec, 2010 08:02 pm
My husband is in the military and has received orders to move to a new duty station. We bought our home in 2007 and now owe more then it is worth. We have four children and I would like to be able to move with him. Is there any program that can help us?
hi saveforsix!
welcome to forums!
if you wish to sell off the existing property, then you will have to contact the lender and apply for a deed in lieu of foreclosure mentioning your situation. if the lender is convinced, he will accept your request and you will be able to sell off the property. you won't be liable for the deficient balance resulting from the sale of the property. however, it will have a negative affect on your credit report. your scores will be reduced by 250 points.
feel free to ask if you've further queries.
sussane
welcome to forums!
if you wish to sell off the existing property, then you will have to contact the lender and apply for a deed in lieu of foreclosure mentioning your situation. if the lender is convinced, he will accept your request and you will be able to sell off the property. you won't be liable for the deficient balance resulting from the sale of the property. however, it will have a negative affect on your credit report. your scores will be reduced by 250 points.
feel free to ask if you've further queries.
sussane
I have been in contact with the bank about a DIL and they said I will owe a deficiency. Is there any way we can get out of that? We have no money and are being stretched to the limit as we stand. Here is a little background,
When we purchased our home in 2007 we were a family of four and our finances were for the most part, in order. We were living pay check to pay check but always managed to pay our bills on time and maintain good credit. Since then we have grown to a family of six and over the course of four years we have suffered financially. Since 2007 my husband started attending college and took out a small loan to pay for school. After reaching the limit of the loan we started using our credit card to pay for classes and books. The same year my younger brother was involved in a car accident and was unable to work. He was forced to move out of his current residents of the time, so we took him in. The bills were adding up so I got a job and started to work on the weekends. In May 2008 my brother moved out but by this time we had acquired a significant amount of debt. I worked as much as I could and we used any extra money to pay down our debt, but things were still not improving. Again, somehow we were able to stay current on all our bills.
This past fall things changed and we had the hardest time with our finances. My husband is in the Marine Corps and received permanent orders to Jacksonville N.C. in October 2010. We found a realtor and place our home on the market in November. In January my husband moved to N.C. while I stayed behind with the children in hopes of selling the house by this summer. I was force to quit my job since he was leaving and childcare fees for four children was much more then I was making. Once my husband moved to N.C. the Marine Corps would not let him stay in the barracks and he had to obtain a rental, this put another huge burden on our finances. We were already falling behind with our debt, now we are short every month due to my loss of income and the fact that he had to set up a whole new household in N.C. To add to this, I was experiencing tooth pain so in January I went in for a dental visit. I have spent $1,994.50 since then to correct decay and other necessary repairs. I still have another $2,000 left in dental care that I have to pay.
We felt like we had no other choice but to max out a $15,000 credit card in order to stay current on all our bills. We dont have any savings or any other assets and our family is unable to loan us any money. We have cut out unnecessary expenditures such as the gym membership, our childrens after school activities and I even started using coupons. We have come to the point where we have tried everything with in our power to keep the house payment current but unfortunately we are all out of money. We have tapped into all our financial means and have exhausted all our options. We dont see an end to this situation as our house has been on the market with a significant price drop and no buyers have shown interest. We have spoken to many advisers and all have given us two options. Deed In Lieu or a foreclosure. Humiliated and heartbroken, we feel as if we have no other choice but to give up the home. We dont have any money to pay the deficiencies that may be left over if we do a Deed In Lieu.
Any advice would be welcomed. Thanks,
[Post Edited to remove duplicacy. Thanks]
When we purchased our home in 2007 we were a family of four and our finances were for the most part, in order. We were living pay check to pay check but always managed to pay our bills on time and maintain good credit. Since then we have grown to a family of six and over the course of four years we have suffered financially. Since 2007 my husband started attending college and took out a small loan to pay for school. After reaching the limit of the loan we started using our credit card to pay for classes and books. The same year my younger brother was involved in a car accident and was unable to work. He was forced to move out of his current residents of the time, so we took him in. The bills were adding up so I got a job and started to work on the weekends. In May 2008 my brother moved out but by this time we had acquired a significant amount of debt. I worked as much as I could and we used any extra money to pay down our debt, but things were still not improving. Again, somehow we were able to stay current on all our bills.
This past fall things changed and we had the hardest time with our finances. My husband is in the Marine Corps and received permanent orders to Jacksonville N.C. in October 2010. We found a realtor and place our home on the market in November. In January my husband moved to N.C. while I stayed behind with the children in hopes of selling the house by this summer. I was force to quit my job since he was leaving and childcare fees for four children was much more then I was making. Once my husband moved to N.C. the Marine Corps would not let him stay in the barracks and he had to obtain a rental, this put another huge burden on our finances. We were already falling behind with our debt, now we are short every month due to my loss of income and the fact that he had to set up a whole new household in N.C. To add to this, I was experiencing tooth pain so in January I went in for a dental visit. I have spent $1,994.50 since then to correct decay and other necessary repairs. I still have another $2,000 left in dental care that I have to pay.
We felt like we had no other choice but to max out a $15,000 credit card in order to stay current on all our bills. We dont have any savings or any other assets and our family is unable to loan us any money. We have cut out unnecessary expenditures such as the gym membership, our childrens after school activities and I even started using coupons. We have come to the point where we have tried everything with in our power to keep the house payment current but unfortunately we are all out of money. We have tapped into all our financial means and have exhausted all our options. We dont see an end to this situation as our house has been on the market with a significant price drop and no buyers have shown interest. We have spoken to many advisers and all have given us two options. Deed In Lieu or a foreclosure. Humiliated and heartbroken, we feel as if we have no other choice but to give up the home. We dont have any money to pay the deficiencies that may be left over if we do a Deed In Lieu.
Any advice would be welcomed. Thanks,
[Post Edited to remove duplicacy. Thanks]
sorry I dont know why that got posted twice.
Hi Guest!
Welcome to forums!
Deed in lieu of foreclosure is a good option for you to get rid of the property and the mortgage. However, in case of a deed in lieu of foreclosure, the lender forgives the deficient balance resulting from the sale of the property. So, you should negotiate with your lender so that he forgives the balance dues resulting from the sale of the property.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
Deed in lieu of foreclosure is a good option for you to get rid of the property and the mortgage. However, in case of a deed in lieu of foreclosure, the lender forgives the deficient balance resulting from the sale of the property. So, you should negotiate with your lender so that he forgives the balance dues resulting from the sale of the property.
Feel free to ask if you've further queries.
Sussane
how do i negotiate? Do i just wait till we sign the paper work for the DIL and then say we cant afford to pay anyblalance?
With a DIL or foreclosure, you will not be able to buy another house for several years.
Can you rent the existing home to cover the mortgage payments?
That way, move and rent where you move to.
Can not think of nor suggest any other options.
Can you rent the existing home to cover the mortgage payments?
That way, move and rent where you move to.
Can not think of nor suggest any other options.
