Need Help (Advice) – home Forclosure.?
by Mortgage Rates on Sunday, October 10th, 2010 | 4 Comments
-
Mortgage Info
-
Updates
-
Useful Links
-
-
Tags
2010 About article Auctions bank banks best Business buyers change Credit Debt Equity Financial First fixed Foreclosure From good Government Help Home house Housing interest Loan Loans Market more Mortgage Mortgages Need News options qualify Rate Rates refi refinance Refinancing should this Time variable would-
Meta
BAD PLAN.
visit daveramsey.com to learn ur hard lessons from others hard lessons.
u don’t buy a house to let the other go in foreclosurer that lacks a lot of things.
get real advice b4 u shaft urselfs.
Really bad idea. Foreclosure is worst that bankrupcy on your credit.
Also, just how do you plan to get approved for a loan when you can’t afford the one you are in. Mortgage underwritter aren’t that stupid that you coulod hide that one but kudos for the effort to scam ths system! Joking ofcoarse!
Your new loan on a new home will not be approved until typically the day or tow before closing by the underwriter and until you have that money and the loan has been funded, they can pull your loan.
Another queston. Why can’t you refinance? Unless you have a hig pre-payment penalty- which are uncommon, you should be able to refinance.
You need to talk to a few mortgage lenders and financial advisors to help you resolve these issues. There is a lot more details that one whould need to go through to give you sound advice adn you don’t want to disclose those over the internet.
DON’T LET THE HOME GO INTO FORECLOSURE!!
Assuming you are applying for a 2nd loan to buy the other house, how do you think you can be approved for the 2nd loan while carrying the 1st and be delinquent? Chances are you’ll be denied the 2nd loan because you don’t have enough sustainable income to carry two loans at the same time.
How can people like you with good credit score think about doing this kind of things? Do you remember what “responsibility” mean?
This does not sound like a very good idea. You are just making matters worse by extending more debt that you are unable to pay in the first place.
Also, it will be very difficult to qualify for the loan for your 2nd home, especially if you are late on any of your payments.
You have several choices.
The first and best option to potentially solve your problem lies with your lender. Contact them immediately and request to speak with someone in loan mitigation. Write down the contact person’s name and direct phone number. Ask lots of questions and take notes. Explain your current financial situation and whether you need a short or long-term option.
A short term option could involve a recent change in circumstances, a lost job or health related issue. You might need a few months to a year to work through the problem and then be back on track.
A longer term option might be due to a serious disability, bankruptcy, death of a primary wage earner, or divorce. In these cases, you might need to restructure the loan or sell your home.
Whatever your circumstances, it is time to put away your pride and take action. You will feel much less stress and angst once you begin to take steps to confront your situation.
Considering the current credit situation, lenders are more willing to work with you. After all, they are in the “money lending” not the “home owning” business. They would prefer to work out a situation with you that is mutually beneficial than endure the lengthy process of foreclosure. This is also an important aspect for you as it would keep a “foreclosure” off of your credit report.
Borrower /Lender Options
1. Forbearance and Repayment
This is the most common resolution to a loan default. The homeowner and the lender work out a plan which allows you to repay part of your delinquency in addition to your regular monthly payment. The lender also might suspend payments for a period of time as long as you can show how you will be able to repay them in the very near future.
2.Reamortization
This option is viable for a homeowner with short term circumstances. The lender reamortizes or adds the delinquent payments to the end of the loan in order to bring the payments current. This strategy could increase the actual payment amount. However, if the lender also extends the length of the loan, payments could remain the same or decline.
3.Short Sale
A short sale is a real estate transaction that is used when a homeowner is having difficulty making payments on a house where they owe more than what it is worth. In this situation, the lender agrees to and negotiates the sale for less than the loan balance.
4.Deed in Lieu of Foreclosure
Similar to a foreclosure, but not as lengthy a process, the home owner actually deeds the home back to the bank. The savings come in terms of time and immediate relief to the homeowner’s stress level.
5.Refunding
If you have a Federally Funded Loan, like a VA loan, the government agency may purchase your loan from the lender and take over the servicing of it. This option should be considered if you are able to make payments, but your current lender is unwilling to extend a repayment plan or forbearance, for any longer.
It should be noted that there are tax and credit consequences to many of these options. Please contact a professional tax advisor prior to making any final decisions.
#2 If you want to sell your home quickly call the people at HouseBuyerNetwork.com they have quick sale agents and investors throughout the country.Ask if they have representation in your area.It is a free service for the homeowner.
Good Luck!