Posted on: 02nd Jul, 2009 05:40 am
Hello,
I bought my house in 2005 with an 80-20 loan for 100% of the cost. The price at the time was 238,000. First loan is for 191,200, 360 months at 6.2%. Second is 15 year balloon for 45,197.08 at 9.25%. The monthly payment is 1700 total, with home owner's insurance.
What's killing me is that Zillow (I know it's not 100% accurate, but it's an estimate) says the house is now worth 197,000. I have never missed a payment, and have great credit. What should I do??!???
I also have a good income (107,000/year), but things aren't looking good. There's only 10 years, 8 months left on the balloon too.
I'm not even sure what my options are, any suggestions??? What should I do with this "toxic asset"?
Any help is greatly appreciated!
Thanks,
Sarah
I bought my house in 2005 with an 80-20 loan for 100% of the cost. The price at the time was 238,000. First loan is for 191,200, 360 months at 6.2%. Second is 15 year balloon for 45,197.08 at 9.25%. The monthly payment is 1700 total, with home owner's insurance.
What's killing me is that Zillow (I know it's not 100% accurate, but it's an estimate) says the house is now worth 197,000. I have never missed a payment, and have great credit. What should I do??!???
I also have a good income (107,000/year), but things aren't looking good. There's only 10 years, 8 months left on the balloon too.
I'm not even sure what my options are, any suggestions??? What should I do with this "toxic asset"?
Any help is greatly appreciated!
Thanks,
Sarah
hi sarahpeterson,
most of the properties have lost their value due to the real estate crisis. i'm sure the properties located in your neighborhood must have also lost their value. due to this circumstances, most of the borrowers are upside down on their mortgage.
are you current on your mortgage payments? if not, then you can apply for a loan modification with both of your lenders. it is the lender's discretion whether or not he would agree to it. you can also speak to the lender about the improved home affordable refinance program introduced by the obama government. according to the new program, borrowers whose loans are worth up to 125% of their home value, can refinance their property.
thanks
most of the properties have lost their value due to the real estate crisis. i'm sure the properties located in your neighborhood must have also lost their value. due to this circumstances, most of the borrowers are upside down on their mortgage.
are you current on your mortgage payments? if not, then you can apply for a loan modification with both of your lenders. it is the lender's discretion whether or not he would agree to it. you can also speak to the lender about the improved home affordable refinance program introduced by the obama government. according to the new program, borrowers whose loans are worth up to 125% of their home value, can refinance their property.
thanks