Posted on 01/31/2010 7:57:46 PM PST by TigerLikesRooster
I'm walking from my underwater mortgage
By JANET SPEER
Last Updated: 7:34 PM, January 31, 2010
Posted: 4:34 AM, January 31, 2010
I stopped paying my $1,450-a-month mortgage on my 200-year-old, four-bedroom home in September 2008 -- after making the hard decision to walk away from my mortgage because it is hopelessly underwater.
It is not an easy decision to walk away from your home, and in the beginning I actually felt like a loser. That was the hardest part.
You see, I was raised to live up to my financial responsibilities. I was taught plenty about personal responsibility. But in this case I had no practical solutions to my financial dilemma -- I lost my job, was turned down for a mortgage modification and owed a lot more than the house is worth.
I WOULD RATHER FIGHT THAN SWITCH HOMES
I am a single parent with three children, one with medical issues. So, with only unemployment benefits and child-support money, I decided to pull the plug on my mortgage payments.
(Excerpt) Read more at nypost.com ...
P!
The banks do it. Cabinet and Congress critters do it. Once things go a bit further everyone will be moving into tents.
If she had filed for bankruptcy she may have been able to keep her house and had her other debts forgiven.
Good, I’ll make a fortune in Short Sales for years to come.
and that is what the dems want
it gives them ultimate control
Yet she would have still had to make the payment for a house that is worth far less than she borrowed.
She can join half of the people in this country in Obamavilles by 2013.
$1,450 a month for a $100,000 house? huh? from the information in the article, she sounds like a libtard!
Three kids and how is it that rent will be less that 1400?
Like calling it "walking away" instead of being evicted makes it better?
Great...so in essence she lived rent free in the house for 16 months (since sept 08)....I am sure she did not pay taxes either so all she did for 16 months was pay utilities.
Welllll...she got 54K cash from a re-fi. She could have used that money to make house repairs, pay debt. The article doesn’t say where the money went. “I needed cash.” Well, who doesn’t?
I’m very sympathetic to people who lose their homes, but it seems this gal has made a series of bad decisions.
At least she couldn’t make the payments. A lot of people who can make the payments are walking simply because the house has lost value and that makes them feel bad.
The woman bought the house for $100k, cash out refinanced for $154k, and the house is now appraised at $129k. Additionally, the monthly mortgage payment mentioned, on $154k, works out to almost 11%.
Something doesn’t add up, here. Ms. Speer is not being honest.
i imagine that includes taxes and insurance
Doesn’t seem to be a good option. You can’t get a mortgage mod in bankruptcy. She couldn’t afford the $1450 anyway, so she would be no better off and would still lose the house. The article didn’t say what city she lived in but the fact that the bank hasn’t foreclosed is telling. Normally if there was a market for the house she would have been foreclosed on within 9 months or less. In some places the banks don’t foreclose because they don’t want to pay the back taxes, ie Buffalo. They may never foreclose on the place. In other instances her mortgage is part of a pool that comprises a mortgage backed security. There’s a servicer who’s supposed to handle this, but if a large portion of the pool went bust, there might not be the funds to foreclose out the non-performers. And they may not be paying the taxes either which means the property will eventually go in a tax foreclosure sale, which means the mortgage will be cancelled out anyway. So the point is she needs a real lawyer to advise her, not some scam adviser telling her to just stop paying and hope for the best.
Buying a product and taking out a loan are to different and distinct business transactions. She borrowed money AND bought a house. There is no requirement to borrow any money to buy a house, every seller will gladly take cash.
The second transaction didn’t turn into a personal ATM mahine like she planned, so she is using that as an excuse to not pay back the money she borrowed.
Perhaps everyone that has borrowed money and bought a new car with it in the last 18 months should walk away from their loan and let the bank take the car back. In every case, more money is owed on the car than what it is worth.
These dolts are the ones that helped dig the hole our economy is in, problem is they are all still digging.
Jingle mail. Send those keys back.
Bottom line, she sucked 54K out of the bank and now she's leaving them high and dry.
Nice work if you can get it I suppose.
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