Hello! Well, I have not made a decision yet. Basically, I just want out. I am in over my head, I can't even rent it for what I need to pay the mortgage and the HOA's. About 3 years ago, I filed bankruptcy at which point I was given the option to keep my home. I did keep my home. So, when speaking to the lawyer again, I was told that I can go ahead and stop paying and that the house will go under my bankruptcy since I was in possession of it during that time (just like if I had a car payment, I could do the same thing). I live paycheck to paycheck for a 1 bedroom, 1 bath condo which I am being told will take years to reach value. Bad neighbors, bad management company. My lawyer has also told me to continue paying my HOA's as they CAN garnish my wages and file suit. So, right now, my lawyer is telling me to stop paying the mortgage part of things and save the money. Only thing is, I have no savings and I will need to be able to stay there for several months without paying so I have enough for deposits to rent and things. From what I have been told. renters can no longer turn you down for bankruptcies or foreclosures... Only evictions. Not sure how true that is. I am really torn on this one. Still sitting on the fence. I can make it for now, living paycheck to paycheck but if they raise the rates again, I won't be able to do it anymore and if I wait and they raise the rates, it will be hard enough to sell with rates well over $400 for what you get and for what I owe on top of it, I might not have the bankruptcy option anymore.. But right now, I have a lawyer and I think I might have an out. I am more worried about the amount of time it will take them to foreclose on me. My lawyer thinks it will be at least 3 months before they even consider doing a loan modification since they won't even talk to me right now about doing such a thing until I am delinquent. He also told me I will not qualify for a loan modification, but it will buy me time.
It is SUCH a scary decision and right now, I don't really know what I am going to do. I love my place (not the neighbors, poor management, poor maintenance) but it is eating me alive. I could be in a 3 bedroom house right now for what I am paying.
I have talked to other residences and they are not happy about the rates but about 80% of the condos in my place are owned by 60+ year old's who bought their places for $20,000, $30,000 and only have $300 mortgage payments to begin with. The one's who are in my situation are foreclosing and most of the older people are renting their places out for $600-$700 a month and leaving. I would need at least $1100 a month and that would be me covering $100 of the HOA dues. I also do know of 2 people that the HOA's are foreclosing on for non payment. There is a lot of talk around there but not a thing we can do. We have looked into it and everything the HOA are doing is supposedly legit and they have a great lawyer backing them.
I worry about this daily and am not sure what my decision is going to be. Regretting ever buying in the 1st place, now.