DJamesL
Joined: 15 Aug 2008
Posts: 1
|
| Posted: Fri Aug 15, 2008 12:53 am Post subject: So Im facing a Predicament... |
|
|
I got stuck with a horrible adjustable 3 years ago, through no fault of my own. (it was the first adjustable I had ever had, so I wasn't prepared fpor what was going to happen).
My Interest rate to start was 5.75% After the initial two years, the Interest rate Rocketed up 2%, to 7.75.. then last year it jumped to 8.75. At this point, to try and preserve whatever future I had, the Mortgage company agreed to Lock me in at a FIXED 8.75% to prevent me from Going up any more, which I did.
Well, sure enough, rtes jumped back down, and as of a month ago, I would have DROPPED a point off my loan.. But, instead, I am still stuck at an ungodly 8.75%.
I called up a representative at my mortgage company to ask about Renegotiating my loan, but they told me that my property value had declined, so they couldn't rewrite the loan.
So it seems to me, at this point, I'm stuck struggling to make payments on a home that is not worth what I owe. When I bought the house, which is 49 miles door to door from work, gas prices were low enough that they werent a factor.
However, now I am to the point where Houses in the area around work are In a better area, and cost LESS than what I am paying now.
I half thought about just walking away from my loan and trying to pick up a new residence closer to work.. Becuase with gas prices the way they are, I cant afford the huge jump in my Intrest PLUS rising Fuel prices.
Is there any info on how to qualify for Government Mortgage relief? ANYTHING to help me? My Credit has suffered since my house payment has jumped almost $800 a month in two years, so I dont know what to do.
Im 2 and a half weeks late on my house payment, and making it this weekedn, but it seems that every week, I edge closer to my 30 day mark.
Is it plausible to just walk away, and try and buy a new house in a flooded marketplace? Of, if I walk away, am I just screwed for however long it takes for a Foreclosure to come off my record?
Help or suggestions would be GREATLY appreciated. |
|
CreditGuy
Joined: 19 Aug 2008
Posts: 3
|
| Posted: Tue Aug 19, 2008 11:16 pm Post subject: Taking Control |
|
|
There is help, but what most people dont understand is that FHA Secure (what the previous link was too) only helps people that were current at least 6 months prior to their first rate adjustment.
My compnay does a lot of Foreclosure Prevention/ Loss Mitigation and when you are in the situation you are in, I would suggest speaking with them about a MODIFICATION. If you can, talk with the Home Retention Unit and not the customer service or collections department. The modification is tricky, but it is all based on "surplus". This means that you need to make sure you can show that you could afford the interest rate that the loan was approved at, but with the higher rate, it is creating cash flow problems. Make sure you dont show a negative on your personal financial statement or they will deny you. You need to show the right amount of positive cash flow and they will work with you on getting the loan back on track.
Trust me, we have done about 300 this year alone. |
|
