Facing Foreclosure? Bailout Loan Or Let It Go?
December 22nd, 2007 by fhop29
This current version of the subprime home mortgage fallout has been interesting to track. Now that we are facing an election year, the politicians are coming out of the woodwork with promises to help ailing home owners.
With billions of dollars in mortgages set to adjust in 2008, many people are in panic mode trying to figure out what to do. Many will be able to refinance with fixed rates since they are still relatively low. Others, who aren’t as fortunate, will be facing some tough options if the government doesn’t come to the rescue.
Those options are brought on if you don’t have the credit to get favorable refinancing terms and/or if you are currently behind on your mortgage. They are:
- Foreclosure - This means you have given up on the house and will let the lender pretty much have it. There are circumstances where, financially, this may be the best option. Emotionally this is a very difficult option.
- Get a Foreclosure Bailout Loan - This option comes with it’s own set of problems and given the problems in subprime mortgages, the most difficult to pull off.
- Sell the house - If you have enough equity, you may be able to sell the house via traditional methods. You also need to have the time if you are currently behind. The other way would be to have an investor negotiate a short sale on your behalf.
All 3 of these options have there own pitfalls and benefits so make sure you look at your financial situation closely to determine if you will keep your home or if circumstances require that you let it go.
Tags: foreclosure, foreclosure bailout loan, short sale, subprime
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This entry was posted on Saturday, December 22nd, 2007 at 12:52 pm and is filed under Bad Credit Mortgages. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
