I was actually going to call the bank tomorrow to see what they had to say. I'm really not counting on good news because there would have to be a drastic reduction in the mortgage to help keep me in the house.
If you qualify they will drop your interest to 2%. Then over the course of 5 years they will go up to whatever the going rate is at the time of the mod. I had to do it and my payment dropped $900. They also dropped $35,000 of the principal. I was underwater too. I will take a 40 point drop on my score for a yr but I get to keep my house.I was actually going to call the bank tomorrow to see what they had to say. I'm really not counting on good news because there would have to be a drastic reduction in the mortgage to help keep me in the house.
I don't want to leave the house and ruin my credit but I also don't want to live in a house struggling. Sometimes I think it's better to take a hit with everything and start with a clean slate somewhere else.
Luckily mine did. I tried a refi but there were 2 short sales on my block and my house did not appraise for what it needed to. It took about 30 days for me to be approved.Good luck with that one. Hopefully your bank will participate in one of the government-backed programs. I believe the program is called HAMP (for people going through divorce or illness). My bank did not participate. I had 3/4 equity in our house, but the bank finagled that and got a judge to allow foreclosure. The bankruptcy trustee even offered to pay them from proceeds from another property. Furthermore, they wouldn't work with me at mediation. Now they've got a house which they can not sell. Never trust a bank to do anything logical! Wishing you the best!
Or deed in lieu.I never got a chance to call the lender today. Refinance is out of the question because I couldn't possibly pay the mortgage since my monthly gross income is less then the monthly mortgage payment.
I'm thinking a short sale is in order but I'm basically clueless about it. Time to hit google.