Upside Down Mortgage

Posts Tagged ‘walk away from mortgage’

I purchased my home a little less than 2 years ago in Long Beach, California. I paid $255,000.00. I am now upside down because the house is now worth $210,000. The payments went from (114 HOA) from 1700 to 2000 per month in February. But, I don't really like the neighborhood. Lots of section 8 renters are moving in and playing loud Mariachi music and selling drugs. Police won't do anything. It is a terrible place and I did not know what I was getting into.

I have gone to Austin, Tx twice and really would like to move there. What should I do?

I am a teacher with a Master's Degree, but this is all that I could afford. I don't want to be a slave to the mortgage company and pay for something that is not worth it. I also am not above dinging my credit.

I don't feel sorry for ditching this place. The banks were bailed out of their poor choices. I am simply a school teacher who thought I was doing the right thing by buying a home. I will not continue the cycle of being a middle class person living in poverty...I'm going to take the advice of seeking legal council. The originator of my loan sold it to ( I'm quoting someone from their own company) pennies on the dollar. If they don't negotiate with me jut because I pay my bills, I'll take the 7 year mark and live in a tent in the friggin forest.

It makes me sick looking at people in my neighborhood that have like 8 kids and live in my same building on section 8 and I work like a dog and come home at 5:00.

Rant rant...boo hoo.. for real thanks for the advice everybody.

By the way, I tried calling and telling the police about the noise laws. They almost laugh at you. No joke.

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Currently I am living in NC and lost my job a couple of weeks ago. Unfortunately the job market in NC turned very tight so at this time I am looking for jobs in Atlanta and Florida. In the event that I get a job in Florida should I walk away from my mortgage? I can try to keep paying rent and mortgage but not for while and due to the current real estate market I know it could take probably up to a year to sell my property. Even though my wife and I both have great credit score of over 750, no credit card debts and our car loan is almost done, we would like to do what is best for our family; if I need to live with 7 years trying to rebuild my credit, I can survive with that! What should be better of sign deed in lieu of foreclosure or foreclosure? Any ideas?? What should be the best solution?

If you own a house anywhere these days, you probably owe more on it than what it's worth. The banks are refusing to modify mortgage rates even if you have great credit. If you live anywhere in Michigan, the market is so bad, you can't sell it without losing a ton of money. Would you walk away and let the bank take it back?

I find it interesting that some people can be so judgmental as to generalize and call everyone irresponsible for being in the position of owing more on their house than what its worth.

Not everyone made stupid choices. Luckily we aren't in that position but I feel bad for the people who work hard, make their payments on time, had equtiy in their home then watched it slowly go down the drain. If you live in Michigan, especially the Detroit area, you know what I'm talking about.