Facing foreclosure is tough enough for those with one property. For those with multiple properties foreclosure can be even trickier, even if considering letting just one go…
What many don’t realize and underestimate is the threat to their other assets and income if they walk away from a home or allow the bank to foreclose on one of their properties. This remains true if the other properties are mortgaged to different lenders and are even in different states.
Letting an underwater home simply slip away into foreclosure frequently results in banks pursuing deficiency judgments for the outstanding balance. This is especially true when borrowers have other assets. Do not underestimate this. Depending on your state and the state in which you live and hold real estate creditors cannot only force property to be sold but can have personal property like cars, furniture and stocks seized and sold, banks accounts tapped and even wages garnished.
How are you going to feel when the repo men come in to take your kids’ TV, bed and drive off in your new car?
The thing is, this is often avoidable today regardless of how underwater homeowners are. Multiple properties can sometimes be sold as package deals to investors, properties can be traded, short sales can be negotiated and deeds-in-lieu of foreclosure can be set up to wipe out outstanding debt.
There is really no excuse for many to suffer as much as they have or will by simply burying their heads in the sand of taking a DIY approach to defaulting on their mortgages. There is help and many other homeowners have walked away debt free and with tens of thousands of dollars to relocate after selling fast for cash under short sales.
It can be confusing and tough to know which solution is right for you until you seek out help but there are options available to those who accept the help being offered to them…
