Posted on: 09th Jul, 2009 09:23 am
september 2011 is the 5th year of our 5 year arm mortgage. our plan a: buy a new home with a fixed rate then keep our old home as long as we can (family will rent it) in case we will be able to refinance it before 2011. disadvantage: with this economy, its very unsure. we need to save also. it would be hard paying for two houses. plan b: get a new home with with a fixed rate then let go (foreclose) of our old home. is plan b "illegal"? will that put us in trouble of taking advantage of the situation? or is it totally okay giving us a chance not to be under water when our mortgage will shoot up to the roof? we just want to be safe in this economy. we don't want to get stuck and wait for our mortgage to balloon with our arm mortgage. we've been trying to have it refinanced but it's been really impossible.
Foreclosure will affect your credit significantly for the next few years. If you are having problems refinancing your current residence, be prepared to have problems refinancing your new home if you let the property fall into foreclosure. Have you made attempts to sell the property?
I hope this helps...
I hope this helps...
Hi Jkennedy,
Thanks for kind reply
But just want to know what according to you will be better option for me?
What you will suggest for me in this situation?
Please guide
Thanks for kind reply
But just want to know what according to you will be better option for me?
What you will suggest for me in this situation?
Please guide
