Do You Owe More than My House is Worth and Need Mortgage Help - The Bills.com Blog

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Do You Owe More than My House is Worth and Need Mortgage Help

Question: Is there any type of loan program available to refinance an upside down home loan mortgage? I Owe More than My House is Worth and need Mortgage Help!

Answer: You are not alone in this situation. Due to the downturn in the mortgage industry, lot of people are finding themselves in the same situation. The people most vulnerable are those who bought their homes within the past twoor three years and now want to sell, either because of a life change or a financial problem. Prices in some places are notably lower than they were at the peak of the market, and the costs of selling can eat up even more money.

Unfortunately, since your mortgage balance is more than the value of your home, you may have trouble obtaining a refinance loan, as most lenders are not willing to extend loans that exceed 100% of the value of the property. There are still lenders out there who will be willing to lend beyond the 100% value of your home, but the interest rates might turn out to be prohibitively high and you may not be able to afford the payment. Still, there is no harm in applying to see if you can be helped.

Bills.com makes it easy to compare mortgage offers and different loan types. Please visit the loan page and find a loan that meets your needs at:
Mortgage Refinance Quote

Not only will these mortgage professionals be able to tell you whether or not your currently qualify, but if you do not qualify,

they can tell you what aspects of your financial situation are causing you problems, and make suggestions about how to improve your chances to qualify for a loan.

If you do not qualify for a loan, then you could try two other options:

1. Try and sell your house at the best possible price. Visit your nearest Assist-2-Sell realtor and get your house on the market immediately. Sell it for what is left on your mortgage. You'll make no money, but you will be out from under the huge debt. By using an Assist-2-Sell realtor, you do a lot of the work yourself that is involved in selling your home. They just assist you and guide you through the maze. Find a place to rent for at least a year (maybe two) until you can get on your feet again.

2. Rent out a room. Consider renting a bedroom (and preferably a bath) of your house to a paying roommate. A lot of students and young professionals who work two jobs or who work and go to school at same time are looking for affordable housing. It could be a win-win situation for both parties. You get extra rental income, you have someone

else pitch in for bills, and you can deduct all your rental expenses from your taxes. Check www.rent.com

If you would like to read more about mortgage refinance loans, I encourage you to visit the Bills.com Home Refinance Resources page at http://www.bills.com/home-refinance/. If you enter your contact information in the Bills.com Savings Center at the top of the page, we can have several pre-screened mortgage brokers contact you to discuss the loan options available to you.

You should also visit the Bills.com Credit Solutions page at http://www.bills.com/credit/ to learn more about credit, credit reporting, and ways to improve your credit score which should help you qualify for better loan terms.

I wish you the best of luck in finding a lender willing to work with you. I hope that the information I have provided helps you Find. Learn. Save.

Best,
Bill
www.bills.com

Also, make sure to get a free financial health check-up with Bills IQ!

Submit questions/comments about this post:

Bill has answered all sorts of questions and has been able to provide those in need of financial guidance with helpful and valuable advice and information on their specific financial area of interest. If you need specific guidance on any of the above mentioned financial areas, feel free to Ask Bill your financial questions and get better informed. Also, make sure to get a free financial health check-up with Bills IQ!

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