The bank said I have 2 choices

[logansdad]

either reaffirm the note or surrender the property, are they serious they want another foreclosure??? I owe 176k and the house appraised for 174k but would probably sell for 140k are they really going to push me on this??

[AngelinaCatHub]

either reaffirm the note or surrender the property, are they serious they want another foreclosure??? I owe 176k and the house appraised for 174k but would probably sell for 140k are they really going to push me on this??

YOU have two choices: Pay through and see, or call their bluff and tell them to evict you. That alone will take them three months. 'Hub

[tdawg]

either reaffirm the note or surrender the property, are they serious they want another foreclosure??? I owe 176k and the house appraised for 174k but would probably sell for 140k are they really going to push me on this??

Is this a house you want to ride thru that you are current on?

[aljohnson007]

Good call from Hub!

[logansdad]

Is this a house you want to ride thru that you are current on?

yes we are current and I promised my wife we wouldn't loose the house, that was the only real request she asked for right up front, she has been a good sport about all of this and allowing her 810 credit score to tank along with everything else. But I promised her I would do what I could to keep the house. So I guess to be safe I will reaffirm. I just cant believe in this economy the bank would risk that. They claim its there policy. if it were just I , I would walk from everything in this pathetic state (Michigan)

[OhioFiler]

yes we are current and I promised my wife we wouldn't loose the house, that was the only real request she asked for right up front, she has been a good sport about all of this and allowing her 810 credit score to tank along with everything else. But I promised her I would do what I could to keep the house. So I guess to be safe I will reaffirm. I just cant believe in this economy the bank would risk that. They claim its there policy. if it were just I , I would walk from everything in this pathetic state (Michigan)

I'd call their bluff. Reaffirming in Michigan is not a good idea.

[backtoschool]

yes we are current and I promised my wife we wouldn't loose the house, that was the only real request she asked for right up front, she has been a good sport about all of this and allowing her 810 credit score to tank along with everything else. But I promised her I would do what I could to keep the house. So I guess to be safe I will reaffirm. I just cant believe in this economy the bank would risk that. They claim its there policy. if it were just I , I would walk from everything in this pathetic state (Michigan)

Reaffirming the mortgage in Michigan at rates that are unfavorable to you is probably not in your best interest. But the stress of calling their bluff, would not be worth the hassle either. Peace of mind is worth a few points of interest in my opinion. I hate to say it, but if I were in your shoes, with a spouse that really wanted to keep the house, I would probably reaffirm too if I knew I could make the payments after discharging my credit card debt. Are the payments going to be a problem for you long term once your credit card debt is discharged?

[AngelinaCatHub]

yes we are current and I promised my wife we wouldn't loose the house, that was the only real request she asked for right up front, she has been a good sport about all of this and allowing her 810 credit score to tank along with everything else. But I promised her I would do what I could to keep the house. So I guess to be safe I will reaffirm. I just cant believe in this economy the bank would risk that. They claim its there policy. if it were just I , I would walk from everything in this pathetic state (Michigan)

I see your point, as I too have a wife and do my very best to keep her happy and to keep her happy with me.

I still think you can negotiate with the bank. Realize it is not all your decision to reaffirm, if your Trustee does not agree, or the Judge. You have to the last minute the ability to reaffirm. See if your lawyer would write them a letter on your behalf that under the economic circumstances a ride through would be to their advantage than a repo. They sure don't want anymore vacant houses. The collection of these are growing. It is my understanding that in Detroit, the city is tearing many down as a hazard in the neighborhoods. (dope houses and the such. Homeless starting fires, etc.) 'Hub

[logansdad]

If the interest rate changes, I wasn't aware that it did, I will not reaffirm. We are at 4.75 now and there is no way I'm going over that in this stagnate state. Also the bank described it as a contract outside of bankruptcy. This what I perceived, but you guys have heard of interest rate increases and of terms changing too?

[backtoschool]

If the interest rate changes, I wasn't aware that it did, I will not reaffirm. We are at 4.75 now and there is no way I'm going over that in this stagnate state. Also the bank described it as a contract outside of bankruptcy. This what I perceived, but you guys have heard of interest rate increases and of terms changing too?

No, I think the bank will reaffirm the mortgage as it stands. I was referring to the possibility that you had unfavorable rates and terms in your original terms.

[OhioFiler]

Reaffirming the mortgage in Michigan at rates that are unfavorable to you is probably not in your best interest. But the stress of calling their bluff, would not be worth the hassle either. Peace of mind is worth a few points of interest in my opinion. I hate to say it, but if I were in your shoes, with a spouse that really wanted to keep the house, I would probably reaffirm too if I knew I could make the payments after discharging my credit card debt. Are the payments going to be a problem for you long term once your credit card debt is discharged?

Why do you hate to say it if you believe it's the correct path?

Unless he's actually in default on his mortgage the bank won't have any grounds for a foreclosure action. No way will a bank foreclose on a mortgage that is paid current.

Call their bluff.

[AngelinaCatHub]

If the interest rate changes, I wasn't aware that it did, I will not reaffirm. We are at 4.75 now and there is no way I'm going over that in this stagnate state. Also the bank described it as a contract outside of bankruptcy. This what I perceived, but you guys have heard of interest rate increases and of terms changing too?

Good thinking, but, I am still prone to advise not to reaffirm if possible. In our economy, some little occurrence could bring our now house of cards down. Unless you are a mortician, even your job could be affected.

Here is a bright idea, and I have never heard of it being done, but asking if free, if they insist on no reaffirmation, would they do a house swap with a smaller more affordable foreclosed empty place that you could pay less on? 'Hub

[AngelinaCatHub]

Why do you hate to say it if you believe it's the correct path?

Unless he's actually in default on his mortgage the bank won't have any grounds for a foreclosure action. No way will a bank foreclose on a mortgage that is paid current.

Call their bluff.

Thank you OH, that was my first response. 'Hub

[backtoschool]

Why do you hate to say it if you believe it's the correct path?

Unless he's actually in default on his mortgage the bank won't have any grounds for a foreclosure action. No way will a bank foreclose on a mortgage that is paid current.

Call their bluff.

I can see your point OhioFiler, but I don't think that the extra stress of waiting out a foreclosure is worth it, especially since the OP's wife wants to keep the house and the terms appear to be favorable terms that the OP is reaffirming.

Since bankruptcy negates non-reaffirmed contracts, the OP will not have full control of the situation if he tries to bluff and wait out a foreclosure.

I am not sure what the benefit to calling the bluff would be anyway since the original terms are favorable, and the wife wants to keep the house. Not all choices are financial ones. The wife has an emotional attachment to the house and that should be taken into consideration.

But I see your point. I just don't agree with it.

[OhioFiler]

I can see your point OhioFiler, but I don't think that the extra stress of waiting out a foreclosure is worth it, especially since the OP's wife wants to keep the house and the terms appear to be favorable terms that the OP is reaffirming.

Since bankruptcy negates non-reaffirmed contracts, the OP will not have full control of the situation if he tries to bluff and wait out a foreclosure.

I am not sure what the benefit to calling the bluff would be anyway since the original terms are favorable, and the wife wants to keep the house.

But I see your point. I just don't agree with it.

Calling the bluff and winning the poker hand gives the OP most of the control of the asset and liability over the remaining course of the term.

Spouses with emotional attachments to assets must be helped to see these decisions as business decisions, not warm and fuzzy feelings.

But I see your point.