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Can we get money for repairs when modifying mortgage?

Posted on: 12th Jun, 2010 02:35 am
i hate my house! we are approx $50,000 under water, neighborhood going to hell (increased crime, empty homes, etc), kids being bullied by neighbor kids, house needs major repairs (approx $20,000), and it is too small for us with the new baby. we applied for a loan modification and got denied, offered a rediculus refinance deal, which we declined. found a great big house to lease for a great price in a great area. expect to sign lease on 6/18 and move in on 6/26. today received loan modification that drops our payments to 1/3 what they were and 2% interest for 5 years. my husband wants to take the deal and stay in the house. i hate the house and told him the only way i will even consider staying in the house is if they give us $20,000 to make the repairs and keep the same low interest rate and payment. even then i don't know if i want the aggrevation of fixing it up...and the neighbors and hood will still be a problem. i am seriously to the point that i am going to move out of the house with or without my husband.
is getting cash for repairs an option? or are we better of doing a deed in lieu of forcloser and moving to a rental?
Welcome flymomrn,

You will receive a loan modification from your lender which will lower your present mortgage payments. It won't give you a cash for repairs. If you had equity in your property and would have refinanced the loan, the you could have received a cash out.
Posted on: 13th Jun, 2010 10:40 pm
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