Posted on: 10th Feb, 2011 03:23 am
my husband lost his high-paying job last year and we are unable to make both the 1st and 2nd mortgage on our house as well as some other consumer debts. he is 8 years from full retirement and the job loss has impacted our current earnings as well as his company pension, which will now drop from $2100 a month to $750 a month when he reaches full retirement age in 8 yrs. his loss of this job will also affect his ss benefits when he gets to that point. we live in central florida where the unemployment rate is around 12% and he can't even find a lower-paying job at this point.
our home is underwater (owe $244,000 but now worth around $120,000 based upon average sale prices in our very stagnant sales area). we have made the decision to give up the house and declare bankruptcy - probably chapter 7. boa (both the 1st and 2nd lienholder) is offering some options, including deed in lieu. we secured an apartment before our credit rating had been impacted because we knew our current and potential future income has now eliminated keeping the house. does it even make sense to attempt a deed in lieu considering the 2 liens, the current market value and the fact that we are going to have to file bankruptcy anyway given the huge income loss?
our home is underwater (owe $244,000 but now worth around $120,000 based upon average sale prices in our very stagnant sales area). we have made the decision to give up the house and declare bankruptcy - probably chapter 7. boa (both the 1st and 2nd lienholder) is offering some options, including deed in lieu. we secured an apartment before our credit rating had been impacted because we knew our current and potential future income has now eliminated keeping the house. does it even make sense to attempt a deed in lieu considering the 2 liens, the current market value and the fact that we are going to have to file bankruptcy anyway given the huge income loss?
hi saunders!
welcome to forums!
you can apply for a deed in lieu of foreclosure in order to get rid of the property. the deficient balance for the first mortgage will be forgiven but you'll be liable for paying off the second loan in full. if you file bankruptcy, you can get a discharge from paying the second loan.
feel free to ask if you've further queries.
sussane
welcome to forums!
you can apply for a deed in lieu of foreclosure in order to get rid of the property. the deficient balance for the first mortgage will be forgiven but you'll be liable for paying off the second loan in full. if you file bankruptcy, you can get a discharge from paying the second loan.
feel free to ask if you've further queries.
sussane