should i ask the bank to do a short sale/ or modify my loan?
March 21st, 2009
Melissa S asked:
Which one is best to do? wHow will the short sale affect my credit vs a modified loan?
ok, well i have never taken money out. my home was purchased at 448,600.
and is know worth 180,000. i am currently in a fixed interset only loan. in two years its going to ballon, and im not going to pay the morage this month in hopes of getting some help from them.
Which one is best to do? wHow will the short sale affect my credit vs a modified loan?
ok, well i have never taken money out. my home was purchased at 448,600.
and is know worth 180,000. i am currently in a fixed interset only loan. in two years its going to ballon, and im not going to pay the morage this month in hopes of getting some help from them.
You’re not making sense. If you are able to modify your loan (sufficient equity) why would you consider a short sale?
realtor.sailor
a short sale is a default on your credit unless you negotiate with the bank to not report it as part of the service you provide to them to liquidate the asset yourself. I’m guessing the bank cares more about how much money they can get back, and less about punishing you for losing money.
It probably depends on the reason for your home needing a short sale. If you have not taken equity out of the home since you got the first mortgage, then I imagine they are more sympathetic. All you can do is ask.
The answer to your question would depend on your present financial condition.
If you are able to make monthly mortgage payments with a reduced monthly payments then a loan modification would solve your problems.
If you are under no circumstances able to make any monthly mortgage payments under any conditions to include a reduction in your monthly mortgage payments then a short sale would probably solve your problems
If you are able to make your monthly mortgage payments as they are then you need not request a short sale or a loan modification.
I hope this has been of some use to you, good luck.
“FIGHT ON”
I doubt they will do either is you are upside down that much. It is in their best interest to allow you to foreclose on the property.