I have recentlly been discharged from chapter 13 and now they say because of increase in taxes and insurance there is now a shortage in escrow and must increase my note effective nov 1. what are my options? what happens if I cannot pay? How will forclosure hurt me now? What happens to the moeny I owe them? My 1st is $32,000. I also have a 2nd for $10,000
2006-10-26 19:28:24 · 2 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
I'm sorry I don't have much advice on any alternatives although I would say start by calling the mortgage company directly and confirming there is no alternative they can present to you, such as re-financing perhaps. Also maybe speak to a debt specialist, just make sure it is a reputable one.
You do not want to allow the home to go into foreclosure though. You will lose everything that way. If you honestly are out of options and cannot make the payments, find one of these pre-foreclosure firms like 'We Buy Ugly Houses" that will buy the home from you to prevent the foreclosure. Or, take the opportunity to sell it now on your own and maybe get a bit more out of it.
2006-10-26 19:41:40 · answer #1 · answered by nativeAZ 5 · 0⤊ 0⤋
If you can't pay, then they will still foreclose on the house. If that happens, you may be better off selling the house to a real estate investor. They can probably negotiate a lower payoff from the lender, and save you from a foreclosure on your credit report.
Depending on where you live, I may be able to recommend someone in your area that can help you.
2006-10-27 14:03:37 · answer #2 · answered by Anonymous · 0⤊ 0⤋