Posted on: 06th Mar, 2009 11:51 am
We bought our home May 2008 to $430.000.00 Since than house values dropped down in the neighborhood. The next door neighbors' home went to foreclosure and it's for sale for $247900.00 it's the exactly the same house like ours. What can we do to renegotiate with our lender, to readjust the house value? What are our options?
Johkirshner,
You can fill out the loan modification package and request that your balance be reduced, but I will tell you that it is going to be an uphill battle. The lenders are trying to reduce the monthly payments and keep people in their homes so they can weather this out and over years we should see the values increase again. The idea is to stop the short sales and the foreclosures so that the values will stop declining at such a rapid rate.
Bottom line, we have to be in this for the long haul.
You can fill out the loan modification package and request that your balance be reduced, but I will tell you that it is going to be an uphill battle. The lenders are trying to reduce the monthly payments and keep people in their homes so they can weather this out and over years we should see the values increase again. The idea is to stop the short sales and the foreclosures so that the values will stop declining at such a rapid rate.
Bottom line, we have to be in this for the long haul.