Should I stay or should I go?

[DJNinSD]

I am in a house that I’ve owned for 3 years now. The market price is about $20k less than what I paid. I did a $0 down loan and have a 1st and 2nd mortgage – both are interest only and total about $3,600 a month. I’m wondering if it is worth it to keep making that kind of a payment? I can’t sell the house as I don’t have any funds to make up for the difference. I’m wondering if I should try to get the lender to agree to a short sale…or let it go into foreclosure? To keep it for 2-3 years more would mean spending another $80,000 to $130,000, on top of the $130,000 already put into the house – and for what? To then sell it for the same that I paid? Any suggestions on what I should do?? I realize no one really knows what is in store – will the prices continue to drop….have the prices bottomed out…will they go up in the next year or two – but I just am not sure what to do. Thanks for your opinions…

[paranoid]

walk.

what are u waiting for?

[paranoid]

walk.

what are u waiting for?

[paranoid]

walk.

what are u waiting for?

[paranoid]

walk.

what are u waiting for?

[paranoid]

walk.

what are u waiting for?

[gn]

DJNinSD,

If you can answer the following questions to enable us help you better:

– How much longer to you intend to stay in that house ?
– What is the ratio of PITI (mortgage + property tax + insurance) to your gross income ?
– What is the current market rent for a house that is equivalent to your house ?

[gn]

DJNinSD,

If you can answer the following questions to enable us help you better:

– How much longer to you intend to stay in that house ?
– What is the ratio of PITI (mortgage + property tax + insurance) to your gross income ?
– What is the current market rent for a house that is equivalent to your house ?

[gn]

DJNinSD,

If you can answer the following questions to enable us help you better:

– How much longer to you intend to stay in that house ?
– What is the ratio of PITI (mortgage + property tax + insurance) to your gross income ?
– What is the current market rent for a house that is equivalent to your house ?

[gn]

DJNinSD,

If you can answer the following questions to enable us help you better:

– How much longer to you intend to stay in that house ?
– What is the ratio of PITI (mortgage + property tax + insurance) to your gross income ?
– What is the current market rent for a house that is equivalent to your house ?

[gn]

DJNinSD,

If you can answer the following questions to enable us help you better:

– How much longer to you intend to stay in that house ?
– What is the ratio of PITI (mortgage + property tax + insurance) to your gross income ?
– What is the current market rent for a house that is equivalent to your house ?

[patientlywaiting]

Yes, walk. No point throwing good money after bad.

If you add all the ownership premiums you’ve paid over the last 3 years, then the losses are daunting.

The questions you need to ask:

1) Will future appreciation pay you back all they ownership premiums and opportunity costs you’ve put into the house over the years?

2) What is the likelyhood of future housing appreciation to occur? Are you willing to take the risk of putting more into the house and getting nothing in return?

3) How old you are now. If you’re 50yo, then there’s not point trying to hang on. You need to move on with your life. And the odds of housing appreciation bailing you out are nil.

If you walk now:
a) You limit your losses to what you have in it already.
b) You can save the amount over and above rent for a future down payment.

If you have a 10% or 20% down-payment on a future purchase (which very few people do), few lenders will turn you away. It’s gonna get so bad that lenders will not longer look at foreclosure as a bad mark on credit history.

Remember, the bank looks at your as a dollar sign. You should look at your relationship with them the same way. Life is a two-way road.

[patientlywaiting]

Yes, walk. No point throwing good money after bad.

If you add all the ownership premiums you’ve paid over the last 3 years, then the losses are daunting.

The questions you need to ask:

1) Will future appreciation pay you back all they ownership premiums and opportunity costs you’ve put into the house over the years?

2) What is the likelyhood of future housing appreciation to occur? Are you willing to take the risk of putting more into the house and getting nothing in return?

3) How old you are now. If you’re 50yo, then there’s not point trying to hang on. You need to move on with your life. And the odds of housing appreciation bailing you out are nil.

If you walk now:
a) You limit your losses to what you have in it already.
b) You can save the amount over and above rent for a future down payment.

If you have a 10% or 20% down-payment on a future purchase (which very few people do), few lenders will turn you away. It’s gonna get so bad that lenders will not longer look at foreclosure as a bad mark on credit history.

Remember, the bank looks at your as a dollar sign. You should look at your relationship with them the same way. Life is a two-way road.

[patientlywaiting]

Yes, walk. No point throwing good money after bad.

If you add all the ownership premiums you’ve paid over the last 3 years, then the losses are daunting.

The questions you need to ask:

1) Will future appreciation pay you back all they ownership premiums and opportunity costs you’ve put into the house over the years?

2) What is the likelyhood of future housing appreciation to occur? Are you willing to take the risk of putting more into the house and getting nothing in return?

3) How old you are now. If you’re 50yo, then there’s not point trying to hang on. You need to move on with your life. And the odds of housing appreciation bailing you out are nil.

If you walk now:
a) You limit your losses to what you have in it already.
b) You can save the amount over and above rent for a future down payment.

If you have a 10% or 20% down-payment on a future purchase (which very few people do), few lenders will turn you away. It’s gonna get so bad that lenders will not longer look at foreclosure as a bad mark on credit history.

Remember, the bank looks at your as a dollar sign. You should look at your relationship with them the same way. Life is a two-way road.

[patientlywaiting]

Yes, walk. No point throwing good money after bad.

If you add all the ownership premiums you’ve paid over the last 3 years, then the losses are daunting.

The questions you need to ask:

1) Will future appreciation pay you back all they ownership premiums and opportunity costs you’ve put into the house over the years?

2) What is the likelyhood of future housing appreciation to occur? Are you willing to take the risk of putting more into the house and getting nothing in return?

3) How old you are now. If you’re 50yo, then there’s not point trying to hang on. You need to move on with your life. And the odds of housing appreciation bailing you out are nil.

If you walk now:
a) You limit your losses to what you have in it already.
b) You can save the amount over and above rent for a future down payment.

If you have a 10% or 20% down-payment on a future purchase (which very few people do), few lenders will turn you away. It’s gonna get so bad that lenders will not longer look at foreclosure as a bad mark on credit history.

Remember, the bank looks at your as a dollar sign. You should look at your relationship with them the same way. Life is a two-way road.

[Author]

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