It's Awful to be Here : (

[Busteddream]

Just joined today, and while I'm grateful to know I'm not alone, how awful to be here

3.5 years ago we were SO optimistic. The kids had grown, moved out, and we were ready to start a new chapter in our lives. Our plan was to sell our home and relocate to the mountains. Our neighborhood was still very RED HOT in sales, but the first indication something was wrong came a month before we left for our new mountain home. We hoped it was just a temporary drop in sales, a warning that the market was about to turn downward, and that we still had time to sell our old home and purchase our new one.

It wasn't a warning. It went from red hot to ICE COLD in one month and stayed there. It's still there now, 3.5 years later. We did our best to keep up with the mortgages, obtain our new mortgage, deal with increase in taxes and insurance, endure renters while we waited out the storm, assess the level of damage they caused in an 18 month period, and not be late on any payments.

Some time ago we found we had to tap into our credit lines in order to cover unexpected increases in expenses. We lost our homestead exemption and our tax bill literally went up 300%. Our insurance doubled. Our renters moved out and the house sits vacant, for sale, with no bites in 4 months. We kept thinking it's ok, if we can just ride it out, we can pay off the added debt with the sale from the home.

It isn't working out that way. Now we're so upside down there's barely a way out even if the house sold. The original asking price was 5K below appraised, and now 3.5 years later we've slashed it 160K and it's below the tax rolls. Still nobody will bite.

I'm so discouraged about it taking only 3.5 years to not only erase 15 years of diligence, but cause us to be literally insolvent. It's got to be the most degrading feeling of personal failure ever (next to divorce).

There is just no other way out. We never thought our home would NOT sell and we'd still be carrying this load until we've exhausted all our resources. We will have to start all over again and forget our retirement plans.

Still ...... as sad as I am that others are facing the same fate, it's a small comfort to know we're not alone, nor is our situation the result of living beyond our means. It's just what it is. Collateral damage in a failing economy.

Thanks for this site.

[Flamingo]

Many of us can relate...never in a million years did my hubby and I ever dream we would be in the position to ever file bankruptcy. It just takes one event to set the entire thing in motion...ultimately it is the resulting debt that either occurred from that event or was already in place prior to the event that causes the bankruptcy. Once you start living on credit cards, cash advances or home equity lines to survive or cover shortfalls in income, the ride down the spiraling black hole has begun.

[Genenco]

Yep, I really understand..After my first, I just really failed to safeguard myself..Never thought it would or could happen a 2nd time..

Whoops!

[willsurvive]

I agree, never in a million years did I think we would either. There was something always bigger and better that was going to catch us up with our business we owned. Well, it never did and here we are. I am realizing it's not as bad as I had pictured though. Hard, but not horrible.

[deadbroke99]

Just joined today, and while I'm grateful to know I'm not alone, how awful to be here

3.5 years ago we were SO optimistic. The kids had grown, moved out, and we were ready to start a new chapter in our lives. Our plan was to sell our home and relocate to the mountains. Our neighborhood was still very RED HOT in sales, but the first indication something was wrong came a month before we left for our new mountain home. We hoped it was just a temporary drop in sales, a warning that the market was about to turn downward, and that we still had time to sell our old home and purchase our new one.

It wasn't a warning. It went from red hot to ICE COLD in one month and stayed there. It's still there now, 3.5 years later. We did our best to keep up with the mortgages, obtain our new mortgage, deal with increase in taxes and insurance, endure renters while we waited out the storm, assess the level of damage they caused in an 18 month period, and not be late on any payments.

Some time ago we found we had to tap into our credit lines in order to cover unexpected increases in expenses. We lost our homestead exemption and our tax bill literally went up 300%. Our insurance doubled. Our renters moved out and the house sits vacant, for sale, with no bites in 4 months. We kept thinking it's ok, if we can just ride it out, we can pay off the added debt with the sale from the home.

It isn't working out that way. Now we're so upside down there's barely a way out even if the house sold. The original asking price was 5K below appraised, and now 3.5 years later we've slashed it 160K and it's below the tax rolls. Still nobody will bite.

I'm so discouraged about it taking only 3.5 years to not only erase 15 years of diligence, but cause us to be literally insolvent. It's got to be the most degrading feeling of personal failure ever (next to divorce).

There is just no other way out. We never thought our home would NOT sell and we'd still be carrying this load until we've exhausted all our resources. We will have to start all over again and forget our retirement plans.

Still ...... as sad as I am that others are facing the same fate, it's a small comfort to know we're not alone, nor is our situation the result of living beyond our means. It's just what it is. Collateral damage in a failing economy.

Thanks for this site.

I feel your pain too, we built a new house while trying to sell our old house. We have dealt with an investment firm that was supposed to find a rent to own family to refinance in 18 months to get the house out of our name. Two years later, we still have the old house and the investment firm is paying the mortgage late and I just got a notice that I lost my homestead exemption on my property taxes that tripled. I am going to file ch 13 and just get rid of the old house. Good Luck!

[limage]

My condo fell in value 150k in one year. When I first put it up for sale, I was going to have 30-40k cash after I paid off my debts. I work in the mortgage industry and I have had a few 0 paycheck months. Started using the cash advances. I decided on a bankruptcy after I added up all of my credit card debt (at the time 61k - before the interest added from not paying) for a short sale hardship letter and realized I could never pay it off.

I am filing in March (to put time from my last credit card use and cash advance). I'm so scared that some how I am f'ing up and I won't get my ch 7.

The good news is, because I am filing and my attorney said to let the house go in to foreclosure ( I will surrender in bk), I have a nice place to live. It's not free because I still have to pay my association fee of 550 (yes, 550), but the mortgage market is picking up and I have some income now.

I wish I had never placed such a huge identity on my credit score. I wish I valued saving much more, but I do now. I have more cash saved up than I have ever had in my life. I don't care that its not earning interest, I'm just glad I can pay cash for things if I need them.

My biggest stress is my horse. He is the one thing that I have to keep through all this. Take my home, my cars, my furniture, my everything but I NEED to keep my horse. My parents have commited to helping me keep him, but I fear the trustee will raise his eyebrows at the amount I spend on him every month (about 500). I can't sell him now (and I would only sell him on paper and then buy him back after this is over) because I dont know his worth.

I will be glad when this is all over with.

[jeb]

Don't beat yourself up of what coulda, shoulda - this whole country went in 2-3 generations from people that saved to buy to people buying everything in sight and charging it.

My parents lived through the real crash and never in their lives had a balance on anything.

I, on the other hand, have used credit for everything - and although I have used it fairly wisely -the Real Estate market destroyed my income so here I am.

My Son, on the other hand, is looking at his 2nd BK soon.

Once one makes that Physiological move from thinking how bad a person you are for not paying your bills and declaring BK and learn what it is all about and how to use it things will start to look up.

Take care - jb

[Busteddream]

Yes, our taxes tripled too, once we lost our homestead exemption. We never counted on being on the market long enough to worry about such a thing. Then our insurance canceled on us, causing new insurance to be quoted at double what we had. It just snowballed from there. We'd like nothing more than to keep going and see it through, but it's just not possible. At the price of the house now, we'll never cover all the expenses we accumulated to maintain it the last 3.5 years. Not when the asking price dropped 160K in the same time, due to home values crashing so hard.

If we'd have had ANY clue what was going to happen with the real estate market, we'd most likely have postponed our retirement move and waited it out. We didn't do that though, so no use dwelling on what could have been.

I'm told there'll be a feeling of relief when it's done, but man the getting there sure makes your dignity a rare commodity doesn't it ?

[Minnymouth]

Yes, when filing bankruptcy your leave your pride, embarrassment, dignity, and ego at the door when attending your 341........

Your ego and pocket book will take a "punch", and all the "what if's" will go thru your mind......

BUT, in the long run (tho hard), bankruptcy does solve the problem for most of us, especially if we get our spending habits and budgets lined out and under control......

We are "forunate enough" to have this way out!!! I thank our forefathers for THAT...... everyone deserves a "new start" in their lives somewhere along the way.... The main thing is to make it all work for you after its all done and over with......Make all the "hard work" pay off in the future........

Bankruptcy is hard.......anybody that's ever filed it will tell ya that..... it's not an easy street to walk down....

Once you survive it, its a "new beginning" and a "fresh start" in life........

MAKE YOUR 'DO-OVER' COUNT!!!!!!!

[HeatherB]

While applying for a car loan a few months ago and being honest with the salesman about the messed up credit we have; I found his response to be enlightening. He said, "Well, just remember it's a big boat, and you're not the only one it."

[ready2puke]

Yep it is a big boat and its getting really crowed in here so please please

While applying for a car loan a few months ago and being honest with the salesman about the messed up credit we have; I found his response to be enlightening. He said, "Well, just remember it's a big boat, and you're not the only one it."

make sure we all use our deodorants ok?????