losing credit...?

Question

ok my mom has a house under her name that she is renting to some family members..the rent is really high like over $4000 a month, not including bills, now the people there cant afford to pay it bc its so high and to make things worse, the property price lowered, so they lost money

so if my mom doesnt pay or the other people dont pay , the house is lost and her credit goes back to zero..is there anything she could do to keep it?

her credit is the best by the way...and we stay in california

Answer 1

Ask her to call her lender. A lot of people are having a tough time making payments now and they have all kinds of programs to prevent her from losing the house and her credit. I'm sure they would rather work something out with her than have to have the loan go into default.

Answer 2

There isn't a zero the scores start at 350 once you have a score. If she does not pay her bills she will have years of bad credit, will have trouble buying things on credit like cars and may not be able to even rent an apartment. Some jobs won't hire her.
She should do whatever it takes to keep her credit rating. Maybe she can move in with them so the combined income is enough to pay the debt. She should evict them if they can't pay and rent to someone else or move in herself, get roommates, or sell things to keep up the payments.
If she can't and it is the first mortgage in CA she may be able to give it back to the mortgage company. If she already has a job and an apartment it may not hurt her much and after 7-10 years she can rebuild credit.