Refinancing when real estate value has dropped?

Karyl
We bought a condo 4 years ago for 400, 000 and It has now dropped to 300, 000. Our mortgage is expiring in 2 years. We dont have 100, 000 to sell the house and dont know if we should wait another two years and fall further into the hole. We both have great credit, have no problem making our payments and are reluctant to ruin our credit scores by doing a short sale. We would like to buy a larger house eventually since we are expecting our first child. What should we do??????

Audra
I would hold on to the place and rent it out until the market rebounds and then look at selling.

Towanda
No...don't refi, you won't get what you need. Just hang onto it and wait for the market to get better. Hopefully when you need the bigger house the market will go up and you can make money and sell it. 2 years is too early to see. I would reassess your situation in a year and look at the market at that time.

Devora
call the mortgage holder, see if they will be willing to renegotiate on terms, if given the advice to go delinquent do not do so. Call first, if that get's you know where, send a letter, if that gets you know where seek legal advice. Make sure you take note of dates, times, and send mail via certified mail.