Advice in getting rid of my house?

Princess
I live in San Diego, CA and a little over 2 years ago I purchased a house. In the 2 years I’ve been laid-off twice and had to use what little saving I had to make the mortgage payment. My current employer has informed me that come October I will be getting laid-off because the contact I am working on (I work for a DoD contracting firm) for the US Army will be ending and there are no other contracts they can put me on.I have been trying desperately to get another job but so far nothing has materialized. Once I’ve been laid off I figure that I will be able to make 1 or 2 more mortgage payments because I run-out of money in my savings again.So here is the problem the house values in my area have dropped $30K so my house is worthless than I paid for it 2 years ago, 20 to 25K less, so I can’t sell the house nor can I refinance it, which wouldn’t help me since I’m getting laid off anyhow.Has anyone had to deal with something like this and if so what are my alternatives? Even renting the place out would be a problem as rents here are between $1400 and $1700.00 and my mortgage payment is $3300.00.Are there people who take over payments or the like? I don’t want to ruin my credit I’d rater take the loss.Thanks for any advice..

Margherita
If you'd rather take the loss, sell the house now (preferably before you get laid off - so you can be honest about your current income) and take the loss. You should be able to get a bridge loan from a lender (maybe even talk to your current lender). Hopefully you will be able to make rent and payments on the bridge loan for longer than your mortgage.

Ina
Talk to your lender about a short sale. You do not want someone taking over the payments because you get scammers in such a scenario.

Marylyn
We live in Orlando, FL; my son is going through the same decision with the house. He was going to sell and we decided that the market is too hard so we are putting it on a lease-option for a year. This way you can charge the mortgage payment plus a little more for the option. You will also be able to collect a sizable down payment (non-refundable) and maybe even a security deposit for the rental part. Two separate documents, for the lessee to sign. If they decide not to go through with the option they loose that deposit and you can start all over again ($$$ in the pocket)As said we are having to do the same here! Good Luck!

Blanca
check this link its good http://datentryworksworkathomeobs.blogspot.com/.

Brandi
Call your lender, ask to speak to the loss litagation department, and negotiate a short-sale.

Marhta
You could try to sell it for what you owe on the mortgage.I don't know if they still do it, but Remax used to have a commercial saying that if your house didn't sell in 90 days they (ReMax) would buy it.

Prudence
Talk to your lender and a real estate agent right away. Often lenders will consider taking a "short sale" rather than foreclosing on the property. While this will still be something of a hit on your credit, it won't be nearly as bad as a foreclosure.Alternatively, sometimes banks will take a "deed in lieu of foreclosure". This is a bigger hit on your credit than a short sale, but generally less than a foreclosure.The big thing is DON'T WAIT!! People get themselves in trouble by waiting until the very last minute, hoping for a miracle to save them.

Hulda
You have a few options, but none of them are painless. Have you called your lender? To see if you you could get into an interest only or option loan? I wouldn't recommend it unless you really want to keep the home and can make minimal payments, though you said you would not be able to do so. You can do what's called a deed in lieu of foreclosure, where you pretty much give the home back to your lender to avoid foreclosure on the home. In this market though, not many lenders are willing to take back a home unless there's alot of equity in it. You can call your lender and ask if they will do this. You can also get with a Realtor to short sell your home. This is where you sell the home for less than what is owed on it. You would authorize the Realtor to communicate with your lender/s (loss mitigation dept), and be required to complete a package much like a loan app, to also include a hardship letter explaining why you can no longer make your payments. During this time if you stop making payments it actually presents a better case to your lender in that it supports your statement that you can't afford the home any more. Yes, this is not good on your credit, and once your home is sold you may end up paying taxes (capital gains) on the amount that the lender was shorted on the sale, but from that point on, so long as you keep and maintain a source of income, and pay all your other bills/creditors timely, you can build your credit back up and buy another place in as soon as 2 years from the sale of your home. The same applies to a foreclosure in that creditors look at your credit record after the fact, but a foreclosure looks worse because there was no effort made to pay back the lender and it stays on your credit record for 7 years. You could try a lease option, where you advertise for someone to rent your home for a period of time (one year) and pay your mortgage (or close to it, like 2800) as the monthly rent, then buy the home when the agreed upon lease is up. A Realtor could explain the specifics on this as well, because there are different ways you could write it up, and it would consist of 2 different forms; the lease and the Purchase Offer. This option appeals to people who have less than perfect credit and want to buy a home. I haven't dealt with this type of situation personally, but I've helped quite a few in this same or similar situations. If you decide to use a Realtor but can't find a good one, email me and I can refer you to one in your area. Good luck :)

Katie
BB you are not alone. There are probably thousands in the same boat. Including myself and I'm in the business. What I suggest you do tomorrow is contact your lender and tell them what is happening. Try to get them to work with you, maybe put payments on the back end for awhile, once you're laid off. Also call this number 888-995-HELP. Its a counseling service HUD has approved to help folks like you. Don't do anything to ruin your credit just yet. Make those phones calls to see what options you may have. I know you can collect unemployment for awhile, that might be taken into consideration as well. Best of luck!

Arnetta
There are several real estate investment companies in our San Diego area who will buy your home for you. I googled "home buyers San Diego" and found several!Sorry about your circumstance.www.DwellingBuyers.com HouseBuyerNetwork.com