Caney Arnold, Realtor
At your service,
Certified Distressed Property Expert
NMLS # 6395
Financing Kentucky One Home at a Time
Your worst option is foreclosure. This will hurt your credit and future ability to buy a house again the most. If you decide you do not want to keep the home, then your best option is a short sale, where you hire a realtor who sells the home AND negotiates with your current lender on your behalf to relieve you of your mortgage debt. This will hurt your credit and ability to buy a home in the future the least.
If you decide you want to keep the home, then you will have to work out some sort of payment plan with the bank. You may want to try a loan modification. If you are currently behind on your mortgage, a re-finance under the various government plans is not an option for you.
The foregoing said, the most important question to answer is, which do you prefer, go or stay? What are the pros and cons for keeping or selling the home to and your family you personally? Sometimes having an informed person who can explain each of your options and most of their consequences from an experienced point of view can be very helpful in coming to a clear decision that puts you in a calm place with a good game plan for your family. I am a realtor, loan officer, and paralegal with real estate experience. I can listen to your story, explain the two processes you may most want to consider in detail, and identify questions you might want to ask an attorney or tax adviser.
If after our conversation and any follow up conversations with an attorney or tax adviser you want to sell, rather than be foreclosed upon, I'll be happy to represent you and protect your interests as best I can. If you decide you want to stay and try a loan modification or re-payment plan, then I'll do my best to find you are real live person at the bank that services your mortgage that can help you through that process.
You can contact me through my phone number 408-639-0211 or my email: email@example.com.
Whatever you eventually decide, I wish you luck and Godspeed.
Personally, I HIGHLY recommend you speak with both a RE Lawyer AND a CPA to jointly craft a course of action that considers how to reduce/remove your potential legal/financial exposure. This subject matter is not necessarily "black and white" regarding a â€œbest moveâ€.
If you need to find a CPA you can find one here: http://www.aicpa.org/ForThePublic/FindACPA/Pages/FindACPA.aspx
Just being Upside/Down is not a good reason to renig of a Contract; although it is being done everywhere.
You should be talking to your Attorney and your Tax advisor; not us!
What is your goal? Sometimes it is difficult to see clearly, so I suggest you write down what you would like to see happen and then see what you need to do to accomplish your goal.