Posted on: 27th Apr, 2009 07:25 am
in january i had lost my job and have been separated from my wife since last october. i contacted my lender before falling behind on my payments. i received material to submit for loan modification but what i found out was the modification was to only appended the mortgage(30 yr fixed) with any missed payments or double up on my payments to catch up on missed payments, but again i haven’t missed any and been struggling to insure i don’t.
like many other people in similar situations, i didn’t over extend myself and when i purchased the house i placed a substantial down payment even in a housing market was on its way down. however, i am now upside down on the house.
i have managed to find a job, however it’s substantially less than i was earning at my previous employer but more than unemployment. i even managed to secure a second job but again, the combination of two jobs is still substantially less than what i was making. i also have my daughter living with me so i’m doing what i can to keep a roof over our heads and even had to forego on health insurance to keep up with my payments.
i have considered putting the house on the market but there are many foreclosures already in the area and houses that are on the market in the neighborhood have been up for sale for almost 2 years.
i’m located in florida and the housing market is still expected to drop even further.
i have considered just walking away from the house since i would be making payments on a property which may not recover for 8-10 years. since my mortgage is not underwritten by fannie mae or freddie mac i don’t think i’m eligible to participate under the loan modifications which are available or is this incorrect or are there actual programs for people that are considered to be low risk and didn’t over extend themselves? it appears if just stop paying on a mortgage then i will be taken seriously.
like many other people in similar situations, i didn’t over extend myself and when i purchased the house i placed a substantial down payment even in a housing market was on its way down. however, i am now upside down on the house.
i have managed to find a job, however it’s substantially less than i was earning at my previous employer but more than unemployment. i even managed to secure a second job but again, the combination of two jobs is still substantially less than what i was making. i also have my daughter living with me so i’m doing what i can to keep a roof over our heads and even had to forego on health insurance to keep up with my payments.
i have considered putting the house on the market but there are many foreclosures already in the area and houses that are on the market in the neighborhood have been up for sale for almost 2 years.
i’m located in florida and the housing market is still expected to drop even further.
i have considered just walking away from the house since i would be making payments on a property which may not recover for 8-10 years. since my mortgage is not underwritten by fannie mae or freddie mac i don’t think i’m eligible to participate under the loan modifications which are available or is this incorrect or are there actual programs for people that are considered to be low risk and didn’t over extend themselves? it appears if just stop paying on a mortgage then i will be taken seriously.
You are true about gettign attention from your lenders is to stop making payments. But one other option is to use your 15 days grace period which you have every month to make your payment. When your next payment is due, do nto make the payment on the 1st or what ever is your due date.
Call your lender and tell them about yoru situation and it will probably get thier attention.
You will have 15 days to talk to the lender before makign yoru regualr payemnt.
You also have the option of stoping the payments, but you risk affecting your credit score. Normally lenders would take 60 days before they report to the credit agencies.
also check out the website and see if you are eligible for loan modifications.
http://makinghomeaffordable.gov/
Modification will be for another 30 years at a lower rate, but at least you get more time, but at a lower rate.
Call your lender and tell them about yoru situation and it will probably get thier attention.
You will have 15 days to talk to the lender before makign yoru regualr payemnt.
You also have the option of stoping the payments, but you risk affecting your credit score. Normally lenders would take 60 days before they report to the credit agencies.
also check out the website and see if you are eligible for loan modifications.
http://makinghomeaffordable.gov/
Modification will be for another 30 years at a lower rate, but at least you get more time, but at a lower rate.