[hgill]

Hey guys, i live in Bakersfield CA, one of the worst hit housing markets in CA. We purchased the house around 3 years ago at the peak for 335,000 and put down around 135,000 down so our loan currently is around 195,000 which makes the house payment 1550 w/ property taxes and ins. all included. i know that doesnt sound much for those of you that live in the city. When we purchased the house everyone in the family was working and it was all good, but since than, my brother is no longer contributing, and both parents have gone through multiple surgeries and get a little bit from the state for disability. Currently my entire income goes towards bills. We make it by every month but cant save a dime. I looked up home prices online and my neighbors house which is bigger than mine is selling for 209,000. My house is a 4bed, 2living, 3baths, loft. There is no way i can sell it because its not worth that much. i was thinking of going and talking to the bank stating that due to income changes and current economy i can no longer afford the payment. I have also heard of some people extending their loan terms as well. Are you guys aware of any new programs or anything else that may help. Open to all suggestions, but no stupid remarks please.

[darkphantom]

hmm, well there is the possibility of leasing it out to someone? I mean IF that is an option for you...

Other than that man, I'm not even sure what I'd do =/ refinance? go through another 3rd party? I've heard of talks on the radio of government programs helping people keep their houses, but I don't know the name. I have heard it for sure though

[mpimping]

you could try to do a short sale or reno your loan. do u want to keep your house?

[hgill]

Originally Posted by mpimping

you could try to do a short sale or reno your loan. do u want to keep your house?

i would like to keep the house since we have pretty much all our savings put in it.

[Heinzftw]

Originally Posted by hgill

i would like to keep the house since we have pretty much all our savings put in it.

Get rid of your 350Z and pick up a hooptie. Ride the bad times and you will be fine. Best of luck my friend.

[JME]

Just wait it out for now. From some more politically inclined friends of mine I am hearing good things coming to the housing market soon.

Whatever you do, do NOT take a six figure loss on that house. If that means losing your car, well then that's how things are. I'm sorry to hear this and best of luck to you!

[T-MC-G]

post pics of your house

[darkcloud]

Originally Posted by Heinzftw

Get rid of your 350Z and pick up a hooptie. Ride the bad times and you will be fine. Best of luck my friend.

Yep, I'd say do that same as long as you have the car fully paid for or close to it.

Also try to refinance to a fixed 30 year loan with a apr at 5.5% or lower while putting some more money down on the house from the sold car. This should drive the home payment to around 1,100-1,300 which could help out a lot.

Avoid foreclosure at all costs.

[MadDog]

My advice:

1) Get your brother out on the streets looking for a job. If he's living in the house, he should be contributing.

2) Ask your bank about refinancing. You may be able to save a few hundred a month.

3) $1,550 is not too bad for mortgage, ins and property taxes. You'll spend at least that much renting a comparable house.

4) Make sure the county you live in has re-appraised the value of your house. This will save you money each month, also.


Good luck....

[Cyrax91]

Hey dude I went to my bank looking for current refinance options. They offered up lower interest rates and extended terms that dropped my payments a little over $300 a month. I know extending term isnt always the best thing, but I figure in these times being able to save some money is huge. Good luck to you!

[Tondtar]

I am not sure applying for a HELOC is an option or how easy or difficult it would be at this point for you. However, if you can secure a loan like that, it will help you with the payments until you can refinance or things turn better for you.

Good luck ...I feel for you.

[UCSBMW]

I help clients in the same situation all the time...first and foremost, you can try a loan modification to better your terms and get more affordable payments. If that doesn't work or is not an option for you, you can realize your loss and sell the home through a short sale. This is basically selling your house for less than what you owe the bank. A short sale would have to be approved by the bank of course. PM me if you have questions, hope this helps!

[Couch]

Sorry to hear what you're going through. It sucks you bought your home when you did, because that was when prices were extremely inflated and at their peak. Bakersfield is one of the hardest hit areas in Cali.

Definitely look into refinancing. Even extending the loan for the time being (and change it back when things get better).

[Couch]

Originally Posted by UCSBMW

I help clients in the same situation all the time...first and foremost, you can try a loan modification to better your terms and get more affordable payments. If that doesn't work or is not an option for you, you can realize your loss and sell the home through a short sale. This is basically selling your house for less than what you owe the bank. A short sale would have to be approved by the bank of course. PM me if you have questions, hope this helps!

Good points. Although the short sale is the absolute last option, imo.

I can tell you're in RE/finance, what do you do?

[UCSBMW]

Originally Posted by Couch

Good points. Although the short sale is the absolute last option, imo.

I can tell you're in RE/finance, what do you do?

My first option would definitely be a refinance, but it doesn't look like there's equity there...and a decent refi may not even be enough help in his situation since there's not the same income and expenses as there was before. Which is why a loan mod may be something to consider. Though a short sale is an aggressive approach, I'd say foreclosure is your last option...

I'm a Broker in CA.

[Heinzftw]

Originally Posted by UCSBMW

My first option would definitely be a refinance, but it doesn't look like there's equity there...and a decent refi may not even be enough help in his situation since there's not the same income and expenses as there was before. Which is why a loan mod may be something to consider. Though a short sale is an aggressive approach, I'd say foreclosure is your last option...

I'm a Broker in CA.

Very good to see such information posted up by some professionals. This is a good community for advice. Once in awhile!

[1cleanm6]

do your best to keep the house man....

also get your brother on the streets looking for a job...that is really fucked up... You shouldnt take all the stress man..

Cut costs and sell the car man...You driven a 350z when your having problems with the house man?

[josephr25]

Originally Posted by Boosted335

do your best to keep the house man....

also get your brother on the streets looking for a job...that is really fucked up... You shouldnt take all the stress man..

Cut costs and sell the car man...You driven a 350z when your having problems with the house man?

You don't know if the car is fully paid for or not, or when he got it.

[1cleanm6]

Originally Posted by Kampfer

You don't know if the car is fully paid for or not, or when he got it.

Well he should really do research and see what he owers what it worths blah blah thats where i would start off...