patrick.net
An Antidote to Corporate Media
1,264,981 comments by 15,127 users - FortwayeAsFuckJoeBiden online now
Underwater need a paddle boat or at least some advice!
invite response
2010 Jul 8, 1:10pm 25,181 views 103 comments
« First « Previous Comments 94 - 103 of 103 Search these comments
@Condohelp - Would love to hear the details of how you got the bank to approve the short sale. Did you have to stop making the payments, prove financial hardship, agree to their deficiency terms ???
Hi,
Our first step was a visit with our accountant, who actually told us to foreclose. Our second step was to consult with a real estate attorney who advised us to short sale. My husband wrote a hardship letter to the bank, which we stated was not 100% financial, and had the attorney revise the letter. We then contacted a local agent to sell the house, who has a history of working with short sales. He did what he needed to do, it's been a long process but we are almost out. We will owe the bank a fee, so don't expect to get off 100% scotch free. Hope that helps.
klarek
2010 Nov 29, 11:00pm
For your information this “home†has caused myself and my husband a lot of grief and medical harm. I have suffered severe anxiety and panic attacks as a result of feeling like we could not move on with our lives. I don’t feel I am entitled or I deserve things… I think our system is corrupt. I realize many people have much less than what I have, that doesn’t mean I shouldn’t want to move on with my life. In less your in a similar situation raving and ranting about how spoiled I am doesn’t make sense. Now that we are able to sell we will be moving and probably moving out of state as we originally planned, you can’t do that when you are tied to a home you can’t sell. PS: We put our house on the market as a short sale and only had one offer… the home was slashed significantly so your theory about people bidding up is absurd!
That is your husband's fault. Blame him. He bought a piece of shit at the peak of the market. If he did FIVE MINUTES of due diligence before making the biggest purchase of his life, he would have realized how stupid that was. Let me guess, he also didn't bother researching the rental comps, right? I know you love him and want to raise kids with him, but you cannot be in denial about what an irresponsible and reckless person he is.
The right thing to do would have been to rent the condo out. The monthly loss would be the price he should pay for his stupidity. If it meant you couldn't own for a while, so what? Why does everybody feel so entitled to own? It's nonsense. But instead, you'll be taking the deadbeat way out of this. I'm sure my tax dollars are somehow going to subsidize your unwillingness to take responsibility for your situation. Just by the bank letting you off the hook, you're already far more likely to be a future foreclosure statistic. Ah America. Land of the free, home of the idiot deadbeats.
klarek
2010 Nov 29, 11:07pm
Just to emphasize: the man you want to raise kids with went out at the worst possible time in the market and spent $300k in the blink of an eye. Boom, done. He didn't do any research because that's how he makes important decisions, without a thought in the world.
It's pretty easy later on to be like "whoops, my bad, oh well", and remove any culpability from one's self while dumping the burden on somebody else. That's why we call them DEADBEATS.
I really hope you understand and appreciate the level of stupidity and recklessness that your husband represents. Do you really think there is anything fundamentally different about him that would stop him from making other stupid decisions, like leaving your kids in the car on a hot summer day?
Condohelp.
Glad to hear you found a way out of your stressful situation. The important thing is to do what is best for your family. Hopefully you have learned something from this and the next time around you will be more thoughtful when you purchase.
Hi Klarek,
"hot summer day kids in the car nag blahblahblah rag" - what the hell...
You've the comments of a nag and that is neither holy, savvy or superior. God (and I) do not like the rant of sanctimonious nags. work on it or be considered tippy.
FortWayne
2010 Nov 30, 3:58am
To me it sounds like you guys are stuck in a very small condo paying a crippling amount of money for it since it was bought at the height of the real estate bubble.
My advice is talk to a lawyer, there are always walk away conditions in a contract so you may be able to just walk away handing the property back to the bank. That's what my aunt did, in her case it was a wise financial move.
I would not talk to the bank, because they have all the incentive to keep you paying and not walking away.
If you can rent 1bd for less than what you are paying for it now, walk away and save for a down payment.
klarek
2010 Nov 30, 4:03am
If you can rent 1bd for less than what you are paying for it now, walk away and save for a down payment.
More like "if rent is less than what it costs to own, don't buy it". Words of warning that fell on many deaf ears during the bubble.
Katy Perry
2010 Nov 30, 4:07am
Great thread There is some good stuff here but lets not forget what the Nazi's would do.
Thank you to all that cared to write helpful post. I'm not sure why people need to write extremely hurtful comments, when they don't know us or how it feels to be in exactly our situation. Telling is that we are deadbeats and stupid isn't helpful and totally untrue. You don't know our professions, the amount of education we have, or the lives we improve every day when we go to work. For the record we are very bright educated people that do make extremely thought out decisions. We are not walking away from our home and we will be paying a penalty and our credit will take a hit. This is the price we pay. I hope that my post helps other people who are in our situation or who are thinking about buying an overpriced home.
« First « Previous Comments 94 - 103 of 103 Search these comments
So like most Americans we have lost value on our property, but unlike most Americans we did not buy more than we could afford at the time. We don't live in a lavish house or have a lot of space, quite the contrary we live in a 670 sq ft condo, which the size in itself is the main problem. The thing is we are in our late twenties and want to start a family, but we know that in our current property that would be impossible, even with the size factored in we also live on the second floor, which is not safe for a baby. I should also add that with such little space all of our wedding gifts have been sitting in storage for over a year, kinda sad!
So let me give you some details so you can help us make a wise financial decision on what to do with the property. The property is in my husbands name, not mine, however of course we share all finances and this is my problem too. He bought the condo in 06, before we were married for $305k, we pay $330 a month in hoa dues (all we get out of that is a few pools, but no gym, etc) and the complex was built in the 70s and still looks like it did then. We have a 1 bedroom and 1 bath. All in all we pay a little over $2k a month in hoa, property taxes and both our first and second mortgages.
Of course you can obviousely tell at my frustration that we want to move into something bigger and at least rent for a while until property values deflate. The first thing we did was to call our bank and ask for a short sale. Of course... we do not qualify for a short sale since we can easily make our payments. The second thing we decided to do was to sell at a loss, we agreed between the two of us that we would pay $30k out of our savings to get out. So we called up a local real estate agent that lists many of the condos in our area and he gave us some bad news. The first thing he told us was we would not be able to sell this place for more than $200k, and the second thing was that even at that price the house may sit on the market for a year. So that option is out, we can't afford to pay out of pockett $100k or more! The only other option possible is to rent it out. However, if we rent we'll get an agency to help us which will take 10%, and if we can find a willing renter we can't expect to get more than $1100 each month based on rental comps. So we will be left to pay the rest of the mortgage. Every month we'll have to pay out about a grand just to keep this sinking ship... money that could be saved for retirment, for our childrens college educations, and to help our parents out when they are elderly. I should also mention another fact... if we decide, and are ever able to afford another house again, if you own a house that is underwater the bank considers you high risk regardless of a good credit history and score. That means we would need to put 20 to 25% down on the second home and we would have to qualify for the new mortgage factoring in what we pay for the current condo and they won't count rental income toward what we can purchase. So basically unless home prices plummet we'll never be able to afford to buy a home if we rent this condo out at a loss every month.
So you may be thinking what about foreclosure. I've thought about it, but frankly my husbands credit will be screwed and as the bread winner in our family we need him to have good credit if we want to buy anything ever again. He also at some point may want to apply for a security clearance and I have a feeling that would disqualify him from obtaining one.
I feel like every option is bad, every way we lose even though my husband was not irresponsible. At that time he qualified for a bigger loan which would have equalled at least another bredroom, but was worried that he would not be able to make the payments so he took the smaller condo thinking that we would easily be able to sell a couple years later even with a small profit. I'm looking for advice... I'm not sure if you have any but whatever you have got please help. We can't continue on in this small place for much longer, I've been wanting to desperately leave for over a year, but we have been waiting for the market to recover (that's a long shot).
Thanks!
#housing