Posted on: 21st Jun, 2010 07:59 am
This is the situation: Our building in Miami Beach is very small, under 20 units. Out of this, there are only 4 units current on payments. The association is owed over $40,000 in condo fees, assessments, and late charges. About 5-6 units are in foreclosure either by the bank or the condo association and one is in bankruptcy. The association is barely keeping up with payments for the necessities (sewage, water, etc.). The association is trying to foreclose on some of the units, but it needs the money for the final filing fee. Of course there is no extra money. I am one of the one's current on my payments and I hate paying for other freeloaders to live here.
The building has needed a new roof for a long time; I didn't know this when I bought the unit. Last summer I had to front the cash to fix a leak in the roof over my unit as well as the huge hole in the ceiling when it caved in. I have a credit for my fees, but if I call it in now, because I'm getting tight on cash, there will be even less money to pay for the basics., kind of cutting off your nose to spite your face. We've had various assessments, but most owners have not paid them for various reasons (mostly because they don't want to, not because they can't afford it, same story for condo fees). The roof over the unit next to me is leaking now. Luckily, the owner can front the cash to fix it. My roof has started to leak again. I can get the money to fix it, but I'm not sure it's worth it. Even if I fix it and try to sell, I may or may not be able to cover the remaing mortgage loan and I'm going to take a huge loss anyway on what I put down as a down payment. And, it won't sell fast. It's going to take the association at least a year before it might possibly be in a better financial situation, and that's just a guess. By the way, the association pretty much just consists of me because no one is interested and/or elegible because of unpaid fees.
I just want out. I realize I'm going to lose a lot, but it's becoming an unbearable situation. Financially, I'm right on the edge, I may not be able to keep up the payments for the loan and taxes for much longer (because of the economy, like everyone else).
I hate to give up, but I'm thinking I should take the loss and get on with it. Would a deed in-lieu be a feasable/better option to forclosure?
I realize this is kind of long, but there's a lot of background information.
Thank you for any help or suggestions.
The building has needed a new roof for a long time; I didn't know this when I bought the unit. Last summer I had to front the cash to fix a leak in the roof over my unit as well as the huge hole in the ceiling when it caved in. I have a credit for my fees, but if I call it in now, because I'm getting tight on cash, there will be even less money to pay for the basics., kind of cutting off your nose to spite your face. We've had various assessments, but most owners have not paid them for various reasons (mostly because they don't want to, not because they can't afford it, same story for condo fees). The roof over the unit next to me is leaking now. Luckily, the owner can front the cash to fix it. My roof has started to leak again. I can get the money to fix it, but I'm not sure it's worth it. Even if I fix it and try to sell, I may or may not be able to cover the remaing mortgage loan and I'm going to take a huge loss anyway on what I put down as a down payment. And, it won't sell fast. It's going to take the association at least a year before it might possibly be in a better financial situation, and that's just a guess. By the way, the association pretty much just consists of me because no one is interested and/or elegible because of unpaid fees.
I just want out. I realize I'm going to lose a lot, but it's becoming an unbearable situation. Financially, I'm right on the edge, I may not be able to keep up the payments for the loan and taxes for much longer (because of the economy, like everyone else).
I hate to give up, but I'm thinking I should take the loss and get on with it. Would a deed in-lieu be a feasable/better option to forclosure?
I realize this is kind of long, but there's a lot of background information.
Thank you for any help or suggestions.
hi domudomu!
welcome to forums!
deed in lieu of foreclosure is a good option to get rid of the property compared to a foreclosure. you won't be liable for the deficient balance resulting from the sale of the property though your credit score would go down by around 250 points. also, this negative item will stay on your credit report for the next 7 years. if you are comfortable with this, then you can go ahead with a deed in lieu of foreclosure.
feel free to ask if you've further queries.
sussane
welcome to forums!
deed in lieu of foreclosure is a good option to get rid of the property compared to a foreclosure. you won't be liable for the deficient balance resulting from the sale of the property though your credit score would go down by around 250 points. also, this negative item will stay on your credit report for the next 7 years. if you are comfortable with this, then you can go ahead with a deed in lieu of foreclosure.
feel free to ask if you've further queries.
sussane