For those who walk away - Where do you go???

[tobee43]

I left a house after 33 years---where I raised my kids from the time
that they were tiny---but what I put behind me was an almost-50-year-
old place that needed at least $25,000 worth of work---and upside down
by at least $65,000---and walking away was the best decision that I did
make---and even my BK attorney told me how much better I looked when
I next saw him for an appoinrtment---after making this decision---and I
now have an apartment---it's all I need---got rid of lots of stuff.

feelingnustsy...wow...we were in OUR house 33 years too!! raised the kids there...brought through the front door and watched them slam it shut when they off to college....

we too...left a 50 house with mold, and now flooding problems since the town changed the road and the water table went directly to our front door...flooding our entire bottom level....what a mess...our leach fields and septic were flooding every spring since the town did that...that house was upside down i say 200k...but it was more like 250k........it was a blessing really...even tho at the time it certainly didn't seem it.

we are so much happier now!......we still have some problem with the "stuff"...OR let me say someone else that lives here does and is NOT allowed to bring anything in from the gargage....i could care less about "stuff" i threw or sold or gave away just about everything...(including sold my clothes on ebay to eat..not kiddin!)....but someone else brought us steel and black and decker......snow blowers in florida...OMG!!! sooooooo...nothing is allowed in past the front door and i do understand it was difficult going from approx 4500 sq ft to 2000......but give it up already!! LOL!!

i LOVE our new place and we are really so much happier here. it was the best decision we ever did....leaving that old house.

[feelingnutsy]

I left a house after 33 years---where I raised my kids from the time
that they were tiny---but what I put behind me was an almost-50-year-
old place that needed at least $25,000 worth of work---and upside down
by at least $65,000---and walking away was the best decision that I did
make---and even my BK attorney told me how much better I looked when
I next saw him for an appoinrtment---after making this decision---and I
now have an apartment---it's all I need---got rid of lots of stuff.

[startover24]

My husband and I changed our entire life after this, intentionally. We were tired of contracts, leases, deposits, sign on the dotted line and swore we want a simpler life and to feel alive...we got an RV instead. You do NOT have to have some $100K deluxe RV to enjoy this life...there are tons of used Class A and Class C motorhomes with plenty of space. The freedom to drive away from our house that last day (we lost our home, too) and never look back was empowering. Once our Chapter 7 is behind us, we feel truly free. Go see the US and enjoy life...you'd be AMAZED how little it costs to do just that.

I've actually been tossing that same idea around for quite awhile. Every time I think about it though, I remember that movie with Albert Brooks (can't remember the name) where he and his wife do the same and it's a disaster. LOL.
How long you been RVing it?

[tobee43]

if we could have.....we would have stayed and saved as long as possible....so it's a good way to get some money together for your "move".

[dontburnthep]

The mistake I see many people make is to leave the house before they have to.

THis is a great point, too. For us, it wasn't a mistake to leave because the house was 95% of the reason that we found ourselves bankrupt, but for many many people, it's an excellent opportunity to save up a lot of money to help with the fresh start that's coming after discharge.

[dontburnthep]

times they do change and sometimes we just have to go with it.......and it's hard for many of us that have been raised differently. but....i know it's the right thing for many now.. and good luck, i'm sure you've done the right thing for YOU!..

Thank you, I hope so. It was a hard leap to make because I had believed the same thing, that a house was the best investment. It was hard for me to accept that times had changed as well.

[tobee43]

The mistake I see many people make is to leave the house before they have to. In Florida foreclosures are taking a year to two years, sometimes more. People leave their home and the house sits empty. Remember, Chapter 7 relieves you of liability on the mortgage(s) but does not take title out of your name. The house remains yours, until the foreclosure is finalized. I have people who have stayed in their homes 3 years without making payments before they had to surrender. Again, I'm talking Florida, can't speak to other states, YMMV. Staying in possession as long as possible (without making payments) allows you to save up some money to get in a new place. Don't rush to move out, just because you've filed a Chapter 7.

i think it may depend on where you home is.......we are here with you in florida now.. whoppppeee.....however, it's almost 3 years with our other house still NOT foreclosed....up north....sure we could have stayed....rent free.....but shoot the oil and electric cost MORE than the mortgage, all utilities........taxes.....HOA dues......JUST to keep warm......so we left..for us it was a better "business" decision and it was during the winter....otherwise we might have stayed a bit longer.

[dontburnthep]

That is so true. I've had mine for 8 years and it has been one thing after another. Now, as I am finally giving it up there are still so many things wrong. The oven doesn't work, the dryer and dishwasher died, it needs new stairs, the kitchen sink drips and I have replaced the washers and am not willing to spend one more dime on plumbers. I put in new insulation and wallboard but that needs sanding and painting and I am not doing anymore work on this house! I have done enough. Let someone else sand and paint the thing.

This is just about word for word our experience. There was so much wrong that even after tens of thousands of dollars, it still wasn't up to liveable. The inspector missed all kinds of things. Nightmare.

[tobee43]

We are renting after walking away. We were homeowners for 11 years and it was painful to make the leap but life on the rental side is oh so much better. Eventually we might like to buy again but for now we're happy to not have all of the financial problems that came with owning a home. We are in our 30's, dual income, and have 2 kids. We just found something in the same school district.

EDIT: Tobee, my father really resisted our renting, for the same reason, of 'old' mind, and he still believes that we did the wrong thing. You make a great point that today's world is simply not the same as the one that he came up in. Owning a home was the best thing you could do then. Now, it's caused us nothing but trouble.

times they do change and sometimes we just have to go with it.......and it's hard for many of us that have been raised differently. but....i know it's the right thing for many now.. and good luck, i'm sure you've done the right thing for YOU!..

[helpme2010]

Yup. Renting is not a big deal. If you are in a state with high taxes, renting makes more sense.

Why do you want all that responsability for a home that is underwater, with taxes and insurance, and other nonsense? Homes should be for the very rich or for people with a rather large familly imo. I got burnt bad with it all, and now I am seeing the light.

Renting is smarter.

You will be fine.

espo, I agree with your statement. Why own a home if you are struggling? You can rent a home for a lower monthly payment and can move away if you don't like where you are, your neighbors turn out to be horrible (this has happened to me), you are too far from your job, etc.

I really didn't want to let go of my house in the bk, but now I realize it will be a huge relief and an opportunity to finally move to a more happy area.

[helpme2010]

Most end up renting a similar house down the street for half of what they were paying in mortgage payments.

It will absolutely not be hard to rent.

HHM, I have communicated with you about this subject on other threads, so I am hoping you are right about it not being hard to rent after bk. My biggest problem is being unemployed. I do have enough to put down a larger deposit, first months rent, etc.

Startover24, I am not 60, but I haven't been able to find a job either. I'm sure the age is one issue for you not finding a job, but the economy is truly crappy right now. I have been in and out of work for 10 years now and it just keeps getting worse and worse. I recently earned my degree and still it hasn't helped a single bit. I was told by everyone, get that degree, you will actually make 20% more. I am finding the exact opposite after getting the degree.

As to where I will live? I will leave this area and move much closer to where my family and jobs are. The rent will be a little less than my current mortgage, but I will at least be in the same area as family, girlfriend, and jobs.

[espo1357]

The mistake I see many people make is to leave the house before they have to. In Florida foreclosures are taking a year to two years, sometimes more. People leave their home and the house sits empty. Remember, Chapter 7 relieves you of liability on the mortgage(s) but does not take title out of your name. The house remains yours, until the foreclosure is finalized. I have people who have stayed in their homes 3 years without making payments before they had to surrender. Again, I'm talking Florida, can't speak to other states, YMMV. Staying in possession as long as possible (without making payments) allows you to save up some money to get in a new place. Don't rush to move out, just because you've filed a Chapter 7.

What about a Chapter 13?

My guess is that the process would even take longer!

Thanks for the insight. I completely agree with you. People need to stop being intimidated by the foreclosure process and instead, see this as an opportunity to save money and start over.

[rpraver]

The mistake I see many people make is to leave the house before they have to. In Florida foreclosures are taking a year to two years, sometimes more. People leave their home and the house sits empty. Remember, Chapter 7 relieves you of liability on the mortgage(s) but does not take title out of your name. The house remains yours, until the foreclosure is finalized. I have people who have stayed in their homes 3 years without making payments before they had to surrender. Again, I'm talking Florida, can't speak to other states, YMMV. Staying in possession as long as possible (without making payments) allows you to save up some money to get in a new place. Don't rush to move out, just because you've filed a Chapter 7.

[discouraged]

That is so true. I've had mine for 8 years and it has been one thing after another. Now, as I am finally giving it up there are still so many things wrong. The oven doesn't work, the dryer and dishwasher died, it needs new stairs, the kitchen sink drips and I have replaced the washers and am not willing to spend one more dime on plumbers. I put in new insulation and wallboard but that needs sanding and painting and I am not doing anymore work on this house! I have done enough. Let someone else sand and paint the thing.

Oh, and when I bought, I did stay within my budget and 6 years later lost my job. So much for buying what you can afford - when the economy is shot to heck.

[dontburnthep]

And dontburn, we were also told "Buy as much house as you can afford", too, remember?

Ugh. Times have really changed.

Indeed! And that a "home is the best investment you will make."

We've owned 2 and both were disasters.

Our rental is much nicer than either of the houses we owned AND cheaper. Sure, we're not building equity. But we built none in the 11 years we owned either, and the second house left us bankrupt so... Not much of a return on our investment.