I will lose my job if I walk away. My loan to value is out of whack. My brother says my inheritance is making a lot of money. Just rent an apartment. I have many years of making money left and I hope real estate in California goes back up. I just feel like I am buying air if I use my inheritance money to pay off my second but I know I will be keeping my integrity. My brother says walk away because my inheritance will gain more money. California friends say that my house will gain in value again and be more than my inheritance.
Sell and Rent Back
Related articles:
- Is it that bad to foreclose on a home considering my circumstances? I am 62 years old and have recently had to file bankruptcy. As my time on this earth is limited, I would like to foreclose on my home and...
- Tax implications of carrying loan on sale of apartment building? My brother just got his capital gains statement for the sale of a 4 unit apartment. He is carrying 90% of the sale price from the buyer with loan...
- How can we qualify to rent an apartment with bad credit? My husband is getting out of the Army and we are wanting to move to Baton Rouge, La. We need to rent an apartment, but he has a bankruptcy...
{ 4 comments… read them below or add one }
Ethically speaking, you made a promise to pay, so if you have the money to do so, you should.
Contact a reputable financial advisor, there are too many variables to take into account. Good luck.
If you walk away, the foreclosure will happen, the house will be sold for half the value, and you’ll get the bill, and have to use the inheritance to pay that off ANYWAY, plus foreclosure and attorney fees.
Markets go up, and markets go down. The only way to be sure to not get dragged under is to not borrow money.
There is a law in California where you can walk away without going thru foreclosure. It won’t hurt your credit al all. You just give the property back to the bank. Talk to a realtor about it.
I gave one back to the bank years ago and was fine. I will say I had bought the house at 450K and had to walk away from my 50K down. The house sold last year for 1.4 million.