Upcoming Foreclosures

Is foreclosure the best solution? What happens when a property goes into foreclosure?

My hands are tied with my house and I am stressed beyond measure trying to pay the mortgage. It continues to increase and will go even higher next month. It is really sucking me dry as I am not able to pay any bills but basic utility. I have tried to contact the lender about loan modification and sent in paper work this was in September. They finally called me about three weeks ago and stated that they had processed the papers but yet i have not received anything. I trusted a freind with this mortgage and she is just as crooked as the company. But it was my ignorance of the 100 percent financing with a 1rst and 2nd mortgage that got me into this mess. So what are my options, my credit looks terrible because if I pay my bills then I can't pay my mortgage. I feel as though I would be better off just letting it go.

Public Comments

1. Check into weather you can be in the program the government announced today to stop high house payments. If you are outside the terms of that - it may be best to just let it go and start again in an appartment. The biggest ting to learn is to always go to a bank to borrow. Not a mortgage lender or any other type of scam. And to always buy only a house you can afford on a "conventional loan" which sets the exact payment and amount for 30 years.
2. you maybe eligible for the new legislation passed by congress this week to freeze your mortgage rate for 5yrs. you should call HOPE1 - 888 - 995 - HOPE and see if you are eligible. I just read all about this on yahoo and bankrate. I am in the middle of re-financing my place into a 30yr fixed, because I am on an adjustable rate as well.
3. Since your credit is shut it might be better to let go. However, do look first into all the other options. Stop waiting for the company to move on things call them every day if you have too. Keep track on your communication. Put it in writing you might need it to prove that you tried to work your problems out with the company. Good Luck sorry for all the mess you are in
4. Actually If you decide to go into the foreclosure route as long as you don't owe back taxes It isn't that bad. They can't just rip your house out from you. It takes a long time. probably 6-9 months maybe more. And you get to live there basically for free. Just make sure all your utilities are up to date and paid. That way they can't really come after you for owing something other than the house debt. The real bad part is, you probably won't be able to buy another house for 5 years. Unless it is really cheap and you make a pile of money. And your credit will be a little worse than dog poop.