Mortgage-Mod-Monster

Mortgage Modification, Short Sale, or Strategic Default

The distressed mortgage holder has three strategy choices other than foreclosure or bankruptcy in actively dealing with their troubled mortgage. A complete consideration will start with the emotional aspects and progress through the financial aspects of solving the distress. Having presented many distressed mortgage holders with their choices, I’m strongly convinced that any strategy must start with the emotional consideration first.

The three strategies are: mortgage modification, short sale, and most recently, a strategic mortgage default. This last is a euphemism for a voluntary repossession. This euphemism was conjured up by the same banks that foreclose on the individual homeowner behind their back to describe walking away from their upside-down or ‘underwater’ commercial property mortgage investment obligations. The general public that feels morally obligated to abide by their financial obligations are not supposed to notice.

Any proactive strategy consideration should take into account where the distressed mortgage property is located in the US. Loss of property value is one consideration in strategy options, and the losses are enormously varied across the country.

Mortgage modification is beneficial and advised for homeowners who have suffered a severe reduction in consistent income. If you are ‘under-employed,’ yet have a dependable, consistent (although reduced) income, want to keep your home, have faith that the US economy will recover and your home will recover in value, you would benefit from a mortgage modification.

If you are unemployed and your geographic region has not suffered significant propery value loss, you should pursue a short sale. Do not use your savings to try to live up to your perceived moral obligation on your mortgage.

If your geographic area has suffered significant property loss, do a ‘strategic default.’ Call your lender and tell them where they can find the keys. Save all your meager income and move one day before the local sheriff comes to evict you. Please resist the temptation to vandalize the property. Please have some ethical regard for your community.

Guilt has no place in this economic crisis.

The mortgage modification firm I represent is 95% successful at beneficial and affordable mortgage modifications. They are bonded by the U. S. Dept. of Justice.

The short sale investor I represent will negotiate a beneficial short sale price NOW that enables you to preserve your dwindling and precious financial assets so you can ride out this economic crisis and own another home sooner than others that are not proactive in this mess.

I cannot recommend strategic default on my side of Colorado. But if you give up on your community and property value, the NBC news tonight spotlighted www.youwalkaway.com as a web site to investigate a strategic default. I wish you all the best.

Whatever you do, do something. Do not allow this depressed economy to own you. Be proactive. Don’t let the pissants get you.

Get this: your lender feels no guilt abandoning their underwater real estate obligation. Why should you? You can’t dare. Get over the guilt and prioritize who is number one around here.

I live in an area of the US that has not suffered significant property value loss. Strategic default as an option cannot be a good idea here.

After reading about parts of Florida that have suffered 55% loss in property value, there simply is no rationale for trying to salvage a distressed mortgage there. I don’t know what other communities might be just as bad. The property owner has no chance of recovering their investment. Strategic default is the only rational strategy. 

Mortgage modification or short sale, call me for the front of the line.
Strategic default – help yourself to www.youwalkaway.com.