Aloha, Linylou. My name is Katie Minkus and I'm the Broker-in-Charge for Hawaii Life Real Estate services on the Big Island. I'm sorry to hear about the difficulties you're currently facing - know that you are not alone, some version of your story is happening to a lot of people right now, unfortunately. I may have a solution for you, I'd like to introduce you to a company that may be able to help. They will take a look at your entire situation and advise you on which route to go - loan mod or short sale - and then they will help make sure it gets done without affecting your credit. If you want more info, please feel free to email me directly: katie@hawaiilife.com or phone: 808.895.4327. Best of luck to you. Warm aloha, Katie

Hi Linylou,

Sorry to hear about the financial problems. I like to think we're halfway through this mess and on the way out. We shall see.

Your lender will have a loss mitigation department that can help you. Call and ask for the paperwork you need to get the process started. In some cases, they give up to 6 months forbearance as long as one of you is employed. The bottom line is that you won't know until you ask. They typically ask for a financial statement with income and expenses. They may reply by giving you the option for a short sale or other alternatives. You need to speak to a CPA regarding the tax consequences of these actions as well.

I hope it works out well for you.

Aloha,
Frank Diaz, MBA (RA), e-PRO

Oh my Lindylou, I am sorry for your troubles. Times are tough all over the island. Waikoloa Village has indeed been hit hard by this economic crunch. There are many REO and Short Sale properties in the village. Short Sales can be tricky. There is no guarantee that you lender will even allow you to go that route. There are many stipulations they will require to consider a short sale. Two things I can recommend to you right away. The first is contact your lender and inquire how to start the process. Every lender is different. Then find yourself a Realtor who has special expertise in Short Sales, they can be tricky and you need someone who knows the lenders and knows what to expect with your sale. He can also advise you as to the best price you can expect to get and what your lender will actually accept. I can recommend an excellent fellow whom I consider the best in the business of Short Sales. Email me privately and I will put you in touch with him. Tough times for sure, but lets see if we can't find a way to help you out of this difficult situation! Mahalo and Good Luck! Jayney Sharpe