Rental property being foreclosed on. What are our options?
My wife and I jointly bought a second home 1 year ago and changed our primary residence while renting out our former home. Then, I was laid off from work for 2 months, fell behind in the payments and attempted to work with the lender for a loan mod. Fast forward to now, still renting the old house, which has currently gone into default and is in the beginning stages of foreclosure with no sale date set as of yet. I have submitted and resubmitted paperwork to the lender ( Wells Fargo), and they always counter back that they need something more to be submitted before the file can be reviewed. It is coming down to the wire and I am wondering what to do to either keep the house or short-sale it with as little tax burden on us as possible. Or do I file for bankruptcy? In a perfect world, the loan would be restructured, we would keep the house and continue renting it out. Just thought I'd pose a question here before I contact a local Real Estate Attorney here in Napa, Ca. Any help would be appreciated. by dkbunt_688_514 from Napa, California. Jan 31st 2013
Steven Ceceri (123LoanYes)
#12 ranked lender in Rhode Island - 723 contributions
Contact me offline to discuss as I am very fluent in Short Sale Negotiations! Thank you!
William J Acres (William_Acres)
#74 ranked lender in Arizona - 8,728 contributions
Probably a good question for a real estate attorney, rather than a mortgage professional.. Most loan officers don't deal with loan modifications... but I personally have had several clients in a similar situation where we advised that a short sale was the best option... however you should talk to a RE attorney in your area as laws might be different than here in AZ.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com
Bert Carpenter (BertCarpenter)
#37 ranked lender in Arizona - 2,431 contributions
Generally a loan modification results in a reduction of rate and payment which does not result in tax liability. Your situation seems fairly complex in terms of your situation and options. You definitely need to discuss the situation with a Real Estate attorney who specializes in Short sales. A Mortgage Loan Officer can give you decent advice, but at this stage, you need more than that. Good luck to you. . ~ Bert Carpenter, The LoansA2z team of NOVA Home Loans ~ NMLS 40586 ~ Licensed in California and Arizona ~ www.LoansA2z.com 888-889-9950
Carlo Sanchez (MortgageLendingPro)
#0 ranked lender in Utah - 1,163 contributions
You need to talk to someone about your situation as it is more complicated than a mere online response. See if you can find a loan officer to help you with the Loan Mod before you contact the attorney as the attorney will charge you exobitants costs where as a loan officer you will need to pay for his help.
Michelle Curtis Loan Originator NMLS 401173 (MichelleCurtisLO)
#77 ranked lender in Florida - 2,245 contributions
You might want to speak to an attorney on this one. then decide whether a loan mod or short sale suits you best.
Joe Metzler (JoeMetzler)
#17 ranked lender in Minnesota - 4,848 contributions
Contact a local Real Estate Attorney
Joe Shamie (Joe Shamie)
#4 ranked lender in New Jersey - 1,412 contributions
A Real Estate with foreclosure experience is goiing to be your best bet.
Steve Azarch (sazarch)
#18 ranked lender in Tennessee - 93 contributions
Several people have given you good options.You might want to talk to a real estate attorney with foreclosure experience or you also might want to talk to someone about a loan modification but whatever you do you need to do soon before your house gets foreclosed.
Ralph Richard Guertin (ralph@absolutelowrates.com)
#58 ranked lender in Georgia - 807 contributions
Please, contact a local Real Estate Attorney
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