My husband was laid off and unemployed for over 6 months until we found a job in another state. We were never able to sell our house and now have a renter in there, although she pays only half of what our mortgage/HOA/and other costs are. On top of that, we are a family of 5 and pay rent for our current residence. The costs are enormous and I feel so trapped, although we continue to pay our mortgage faithfully every month. Money is so tight because of that stupid house we couldn’t sell that is now worth $ 30,000 less than what we owe. Will we not ever qualify for a loan modification because we don’t live on the property? What are our options? HELP!
You need to contact your bank.
While none of the programs cover investment property I am hearing that some investors are increasing their profits by obtaining modification. Your bank is the only one that can modify your loan, but they won’t even start unless you ask them to.
You need to contact a real estate attorney to figure out what you best options are. Clearly you have a toxic asset -30k. You may need to look at a short sale, this is where you sell your home and the lender agrees to take a hit for the difference. With a loan modification you need to call your lender up, but these things do not happen magically over night, I have know folks that are still waiting 6 months after they applied. Takes alot of follow up.
here are some helpful links for you
http://www.loansafe.org—-you can post on there forum and get lots of good feed back from folks that are going through this process.
http://www.makinghomesaffordable.gov
wish you the best of luck