1 out of Every 3 Homeowners are Underwater on their Mortgages!

Economy Watch at MSNBC recently reported that 1 out of every 3 mortgages are underwater. While, it goes on to say 90 percent of the owners are current in their payments, 10 percent are behind. Add this to the fact that foreclosures rose 9% in May from a month earlier and you have a picture that there is more trouble on the horizon for many families struggling day-to-day just to get by.

Many people that find themselves facing a hardship and owe more than their home is worth don't have to end up in foreclosure. A successful Short Sale of their home is a far better alternative on almost every level. Yet many homeowners will wait too long to ask for help or list their home with someone who isn't familiar with the Short Sale process only to have the sale rejected by the lender.

Significa does Short Sales... and they have been doing them since 2005 - over 300 Short Sales successfully closed. With our team of professionals, you have access to an Attorney, a Processor and a Negotiator. Our team knows how to represent you and get your home sold, avoiding foreclosure, so you can move on with your life.

Contact me today to learn how we can help you.

Articles referenced: 

One in Three Mortgage Holders Are Underwater


Foreclosure Activity Jumps in Troubling Sign for Housing Recovery

I’m behind on my mortgage. Should I move out or stay in the house?

In most cases, it is wiser for a homeowner to stay in their house.  Many people who are behind on their mortgage payments have an unfounded fear that they will come home one night to find their belongings removed and their door padlocked.

Banks prefer to have someone, particularly the homeowner, stay in the house.  Mortgage lenders do not like vacant houses, as they lose value due to break-ins, ice damage in the winter, or lack of upkeep.

A homeowner behind on their payments can save money by staying in their house.  Rather than paying for rent somewhere else, they can live rent-free in their house until the property is sold.  The money that is saved during this period can be allocated for moving costs, a security deposit, and rent when they eventually move elsewhere.

Even if the homeowner is delinquent with their mortgage, they are still the owner of record and therefore remain responsible for the property.  The owner could be cited by the local municipality for not maintaining the grounds, such as failure to cut the grass or shovel the snow off the sidewalk.  The owner is still responsible for paying property taxes.

The owner is also liable for what occurs on the property.  For example, if the owner abandons the property and has a pool, they could be liable if someone falls into the pool even if that person were trespassing.  The owner is also expected to maintain insurance on the property.  If they cannot afford insurance, they should inform their mortgage lender so the lender can pay for forced placed insurance.

Unless there is a compelling reason to move now, such as job relocation or a contentious divorce, it is wise for a homeowner to stay in the home while the foreclosure process unfolds.

From the blog: Stop Foreclosure Right Now – Reprinted with permission.

Avoiding a foreclosure by successfully processing a Short Sale of your home is what we do! We close 90% of our Short Sales. Contact me to see how our team of professionals can help you.

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