Charles,

You should contact your lender as soon as possible if you are haveing difficulty making your payments. If you are able to make the payments you have nothing to worry about. You can try to do a loan modification but that may effect your credit. If you want to sell the home you amy have to bring money to closing or do a "short Sale" and have the bank make up the difference ( this will likely effect your credit as well as have tax consiquences.
Continue to seek advise, and don't give up.

Charles,

I agree with Cindy, contact her and try to work out a mortgage mod. You didn't say if you live in the house or it is an investment, there are differences in what lenders will do.

Not sure about Jay's post...

>>>>please email me charles. I'm a re whoar and can make all your problems disappear.>>> was that a typo? what is a re whoar? Please explain for all of our benefit ;-) We'd like to know how to make problems disappear too! Can you vanquish teenagers and mother in laws? (giggle) If so, let me know, I will pay good money to learn this!

Charles
Try working with your lender, explain the situation, and hope they can work with you,a foreclosed home is no good to them, try very hard and be honest with them, stay in communication with your lender.
In 2 years the market will be better and you may not be in negative equity
Good luck

Please see the following link of an article about modification companies and one that is reputable. Please make sure that you check the company out. I can get you the phone number if you are interested.

Oh Charles Im so sorry to hear about your situation. No you don't lose your house. Depending on your situation you have options. Please contact me to see what I can do for you. I am a loan modification specialist and can help you in any state.

Thanks
Cindy

You can try to refinance or ask your lender to do a loan modification to lower your payment and extend your loan.