Desertraven, Both Buyer and Seller in 85338

What can I do to get out of 9 Phoenix homes, including my own residence, I now have big negative equities in?

Asked by Desertraven, 85338 Sun Nov 30, 2008

All but 2 were bought new 2003-2006. Mortgages total 2 million. With 5 different lenders,: Aurora, Wachovia, Chase, and GMAC. Current fair market value totals 1.2 million.
One is owner occupied, they other 8 rented. However, I can't live with the $3000 per month total negative cash flow. Yes, I was stupid. But I want them all gone. Are any banks rolling them back 40-50%, or taking back trust deeds and wiping out the debt? It's all or none, minor fixes won't help me now.
If you have any specific knowedge about what banks are now doing, OR even bancruptcy attorneys, I'd love to give you a call also.
Thank you.

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Steve Belt’s answer
As well as a real estate attorney, you had better consult a tax adviser. A short sale on an investment property could expose you to a significant tax bill. This is why many investor properties end up in foreclosure...the investor can't afford the tax burden of the short sale.
0 votes Thank Flag Link Mon Dec 1, 2008

There are so many questions I have because of your circumstance that I don't know where to start.

The first recommendation I have is to speak to a real estate attorney to find out where you stand.

I have a great real estate attorney I use and recommend if you desire that contact.

I would also refrain from asking too many questions on line about this because this could lead you in a direction not advisable.

What you want right now is protection and a plan for the best outcome for you.


Stew Keene
Ph (480) 220-7491
Fax (866- 711 8573
Keller Williams - Scottsdale, AZ
2008-2009 Master of Real Estate award recipient
0 votes Thank Flag Link Sun Nov 30, 2008
I would agree to consult with a real estate attorney for consultation!

I would also contact each of the lenders and see what they are willing to do. They may suggest to sell the homes or possibly adjust your payments.

I wish you the best feel freee to contact me if you have any questions!

Lucinda Tkach
Windermere Central
0 votes Thank Flag Link Sun Nov 30, 2008
Yes, answers are available for you. Lenders will work with us today in many cases as they often don't want the homes back via foreclosure. You had no control over the market, it is larger than you!! The negative cash flow would be challenging for anyone to deal with.

Some banks will do loan modifications and or possibly consider a Short Sale. Options are available for you!!
Web Reference:
0 votes Thank Flag Link Sun Nov 30, 2008
Dont file bankruptcy approach each bank have your bank statements for the past 4 months, letter of hardship, work direct with lender It is amazing deals banks are accepting without having a foreclosure. You might offer a short sale with the banks which needs their approval. Would any of renters want to purchase the properties?
Web Reference:
0 votes Thank Flag Link Sun Nov 30, 2008
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