Its been a long time posting. Raising 2 kids sucks nothing but time out of you. I need to point my next door neighbor where to go for help. I have been out of the housing noise for a few years now. Im looking great on my cabin and primary but now looking to help a friend. Normally back in the day on my website I would’ve been like, “screw these people that lost money I hope they get kicked out”. Now ive grown up a little since I created this username lol.
My neighbor bought his house for $257k in 2000
pulled out around $200k through the bubble and now with lost income and wife just fell down steps and broke her shoulder and now she cant work. I think his PITI is ~$2800 month. House should appraise around 450k-465k so hes probably around 100% LTV. Any ideas? Rents are around 2400 a month. Im a weird guy to get use to and don’t want a new neighbor.
Not sure how the banks are reacting NOW, but he might try that multiple-month-no-mortgage-payment -pursue-loan-mod trick that others have performed successfully. Hopefully, they can stall long enough to get back on their feet.
And please, no moral mumbo jumbo from the peanut gallery- I’ve seen too much bullshit to single out and pass judgement on anyone these days.
As much as you do not want a new neighbor, if you really want to help your neighbor, you should recommend that he sell the home, and find somewhere to rent that is within his budget. If he is 100% ltv he can get out no problem, or if need be he short sells. A new budget where he does not have to pay property taxes or homeowners insurance and can simply pay rent would help him alot more the deferring his debt with a loan mod.
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