Foreclosure in Santa Ynez>Question Details

Celaine, Home Owner in Santa Barbara County,...

Bought a house for 729,000 put down 250,000 house worth 499,000 and can't get a modified loan through bank we are behind 22,000. and property

Asked by Celaine, Santa Barbara County, CA Sun Dec 19, 2010

tax due? My husband and I are legally seperated and divorce papers filed We bought a hous 6 yrs ago for 729,000. put down 250,000 and it is now worth 499,000.We have tried to modifie the loan the interest only loan but the bank so far has said no. We are behind 22,000.00 payments and property tax is due.We don't have the money. Do we let it go to Forecloser? or Bankrups?or how does one do a quick sale? When it's over do we still owe?

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Answers

6
Contact a real estate agent discuss short sale however requires lender approval.

File for BK, if you still owe money? Outside of Realtor professional code of ethics to respond to any of those types of questions.

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
0 votes Thank Flag Link Mon Dec 20, 2010
In order to best protect yourself and any other assets you may have, do consult with an attorney who specializes in real estate beforehand--if you cannot afford an attorney, contact your local Legal Aid Society for a pro bono attorney--free. Rather than letting the property foreclose is a short sale an option for you......
0 votes Thank Flag Link Sun Dec 19, 2010
Hi Celaine,
I'm sorry to hear about your situation. Many of my clients including my self have been in your shoos. We all purchased homes in 2004-2007 in the hight of the market. We have tried modification and no success. Our best option was short selling our homes.
Short selling your home dose not impact your credit like a bankruptcy and foreclosure.
I specialize in Short Sales and have helped many clients in your situation understand the process.
For more information you can got t http://owww.shortsalesandmore.com
You can also contact me for a confidential consultation and I will share with you what we were able to accomplish for our clients at no cost or obligation to you.
Thanks
Tony Suleiman
805-879-8078
0 votes Thank Flag Link Sun Dec 19, 2010
HI Celaine, If the bank refuses or won't modify your loan which they can but most banks servicer make more money by not modifying. One of our clients was able to fight it in court, the bank had to give her no interest for 2 yrs and took off her arrears which brought the home down to it's value, after 2 yrs her interest starts at 2% and got up by 2% each year until it reaches a cap of 6%.

Fight and fight hard. Most lawyers are as new to shorts sales,foreclosures and mod.loans as Homeowners.
Many are fighting Pro Se. However We suggest a Lawyer one who is blogging on the interent with experience and knowledge. We see some Lawyers who are posting their success with this type of issue.

Other options is to short sale but it's a longer process get an experienced Realtor/Broker in your area who will tell you what you face to do a short sale. It's not easy but can be done.

The banks who seem to not want to modify have been in our experience, Wells Fargo and Chase, there are others but these 2 have been our worst in trying to do short sales and modifications.

Research your options.

All the Very Best
Dave & Lisa


Live chat on our Website for your quesitons
Web Reference: http://www.urhomerealty.net
0 votes Thank Flag Link Sun Dec 19, 2010
Ceilaine, I am sorry to hear you are having a tough time. To give you the best answer I would need to know more information. What is your existing mortgage amount? Who is your lender? Have you applied for a modification? I have worked with many other who are in your situation. Sometimes we have tried for the modification and it works; sometimes not. It will be dependent on the bank's ability to verify your income sources and if one or the other of you can manage the payments on your own. In some cases the bank reduces the principal, in some cases changes the interest rate to a fixed rate and reamortizes it. However, they have certain standards for what a borrower can legitimtely pay (a ratio of housing expense to income and housing expense + additional debt service to income).
Generally if you cannot acomplish the modification, a short sale is better than a foreclosure for your financial recovery at some point. Whether a bankruptcy is in the cards, is a question for your accountant or attorney. A short sale is possible in this market and I would be happy to explain them to you.

You can reach me through private email at Marlene@MacbethRealEstate.com and I can run through the options for you in more specific detail as it applies to your current situation. I also live in Santa Ynez and have worked as an agent here for 30+ years. Give me a call at your convenience. Knowing your options will help how you are feeling now.
0 votes Thank Flag Link Sun Dec 19, 2010
This is all a matter of negotiation. You started at the right place, Modification. If that does not work you can move forward into Foreclosure. Hire an attorney that will help you settle your Foreclosure with a Modification or Shortsale.

You can contact me to discuss the matter further http://www.isternlaw.com.
Web Reference: http://www.isternlaw.com
0 votes Thank Flag Link Sun Dec 19, 2010
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