I owe more than my home is worth.

Maybe you bought in the very peak of the market. Maybe you took too much cash out. Maybe there are 5 foreclosed homes sitting empty on your block. Whatever it is, it's a huge problem when you owe more on your mortgage than your home appraises out to.

You can't sell, you can't refinance...perhaps you are thinking of walking away? Before you do, consider you will have to wait 5 years before purchasing another home. Your credit will be trashed, and you will be renting. But what are the options?

Short Sale Sunrise Vista Mortgage has many realtors who are competent and experienced with the Short Sale process. A Short Sale is not a foreclosure, rather, it is a process where the lender agrees to take a payoff of less than what is owed. This allows you to escape with less damage to your credit than a foreclosure. Why would the lender agree to this? Simple- when considering the cost of legal fees, court fees, eviction and repairs to possible damage, a Short Sale is far cheaper than foreclosure.

Loan Mod During this process, a negotiator and/or team of lawyers acts as your counsel with your lender. A loan mod is for people who wish to stay in their homes, but cannot afford it due to something like the catastrophic loss of a provider or their rate adjusting. This process is similar to getting a loan, because you will need to provide the paperwork to your existing lender.  Once the loan mod is approved, your lender will make an offer of reduced terms, often extending low rates, fixing rates or even reducing the balance owed to make payments more affordable. Just as we talked about with the short sale, your lender wants to avoid foreclosure at all costs.