I've been asked to relocate to NY for an opportunity that I really want to accept, but the problem is that I only purchased my condo a year ago, and value has declined by $60,000 already. If I put the condo on the market, it would have to be a short sell, but I don't think the bank will accept such a big difference. What other options do I have other than foreclosure? I don't want to pay two mortgages, especially for one that I'm not living in. I'm eager to hear what can be done for situation like this. Thanks.
2007-12-27 17:09:06 · 5 answers · asked by J Y 1 in Business & Finance ➔ Renting & Real Estate
Unfortunately, relocating is a life choice and the lender isn't going to take it into consideration to help you. Your options are 1. Stay in the condo, wait until the market turns around, then look to sell and relocate. 2. Depending on the company that you work for, some companies will purchase the home from the employee upon transfer, and they will work on selling it. 3. let the home go into foreclosure, you won't be buying a house anytime soon, and your credit will be trashed. It would be difficult to find a place to rent forget about purchasing.
2007-12-27 17:18:06 · answer #1 · answered by Paul C 3 · 0⤊ 0⤋
Moving to another location is not something a lender will consider in if to foreclose or not.
You are on the correct path about a short sale. The lender will have a real estate agent that will give them a value of the property and if the appreciation has dropped by $60,000 then the value will be reflected by the real estate value check.
There are other options you might have. You should make contact with your mortgage company. Ask them what your options are and then offer them your ideas.
The lender would rather work something out with you as oppose to just allowing the property to go into foreclosure where they will have to take the property back any way.
#1 Another option is deed-in-lieu of foreclosure
#2 Short sale as mentioned before.
#3 Renting the property
If you purchase a property before your present place go into foreclosure you will get a better interest rate. After you get your new home in New York you can then allow the old property to go into foreclosure. Tell the new lender that you will try and rent the place or get a rental agreement.
I hope this has been of some use to you, good luck.
"FIGHT ON"
2007-12-27 17:28:52 · answer #2 · answered by loanmasterone 7 · 0⤊ 0⤋
On a 12 -month old condo, you would be saving yourself a phone call to the bank...you are correct, they will not accept a shortsale...it would also ruin your credit, because banks treat short-sales the same as a foreclosure for future lending purposes.
Moving is a choice, and sometimes circumstances do not warrant being able to move because of situations such as yours.
You can consider renting, but it's hard to manage a property out-of-state, and if you require the rental to make the mortgage payment, then that can be financial devastating if you lose your tenant.
2007-12-27 21:56:08 · answer #3 · answered by Expert8675309 7 · 0⤊ 0⤋
Don't worry about how much the value has declined. I've handled plenty of short sales and the lender would almost prefer to give the home away rather than foreclose and have it possibly sit on there books for another year or so. Your hands are tied as far as options though, it's either short sale or foreclosure. Keep in mind that if you are planning on buying another home try to do it BEFORE you start missing payments or foreclosure starts on your current home. Good luck
2007-12-27 19:48:46 · answer #4 · answered by Anonymous · 0⤊ 0⤋
purchase a house on your place city now. jointly as your credit is sturdy. Ask the financial enterprise for a discounted very own loan quantity with the aid of fact the home is worth some distance decrease than you owe. as quickly as they redo the non-public loan you are able to lease it out or in simple terms stroll away....yet purchase first
2016-10-20 03:30:54 · answer #5 · answered by Anonymous · 0⤊ 0⤋