Posted on: 29th May, 2010 05:18 pm
I purchased a townhouse 6 years ago in Florida for $330K. At closing Countrywide changed my mortgage from one w/PMI to a TAMI loan w/an ARM & told me "take it or leave it" - based upon my brokers advice - I took it. NOw 6 years later it has modified- my payments have gone up about $600 and the rate changes monthly - fortunately the rate is currently low but I'm paying $2350 a month. The last 2 sold for $160K and $165K in shortsales - and the neighbors was just appraised at $225K
I've managed to save a bit of money so I haven't missed any payments of yet but I'm self employed and my income has dropped by over 25%. .I've tried to modify - been turned down. 25% of our complex is in forclosure - so no possibility of refinancing. Now I'm moving out of state and will have to start my business from scratch and am faced w/the option of putting the house up for rent - but will be running $1000 negative monthly.... or getting rid of it. What is my best option - short sale, forclosure, deed in leui?
I've managed to save a bit of money so I haven't missed any payments of yet but I'm self employed and my income has dropped by over 25%. .I've tried to modify - been turned down. 25% of our complex is in forclosure - so no possibility of refinancing. Now I'm moving out of state and will have to start my business from scratch and am faced w/the option of putting the house up for rent - but will be running $1000 negative monthly.... or getting rid of it. What is my best option - short sale, forclosure, deed in leui?
Hi cass,
If you want to get rid of the property, then your best option would be to contact your lender and apply for a deed in lieu of foreclosure. This will not only help you in getting rid of the property but you won't be liable for the deficient balance resulting from the sale of the property.
If you want to get rid of the property, then your best option would be to contact your lender and apply for a deed in lieu of foreclosure. This will not only help you in getting rid of the property but you won't be liable for the deficient balance resulting from the sale of the property.
Hi Adonis, does it make a difference that my bank is BofA? Also, what about my personal savings accounts/business accounts? I'm an S-corp... can they go after or take my business accounts into affect? Should I transfer those funds to another bank? I'm gonna have to live off that money for about 6 months while I get my business going again....
Hi cass,
Though your bank is BofA, it won't make much difference when you apply for a deed in lieu of foreclosure. You should contact your lender and apply for it. If you've defaulted on your mortgage payments, then there are high chances of getting the deed in lieu of foreclosure approved. As the lender will forgive the deficient balance, they won't come after your business or savings account.
Thanks
Though your bank is BofA, it won't make much difference when you apply for a deed in lieu of foreclosure. You should contact your lender and apply for it. If you've defaulted on your mortgage payments, then there are high chances of getting the deed in lieu of foreclosure approved. As the lender will forgive the deficient balance, they won't come after your business or savings account.
Thanks