I took out a 100% mortgage for a place about 2 years ago at a condo conversion. I thought everything was great, until the rest of the units never sold. The owner started renting them out, and we didn't have enough people to switch the HOA over to the owners. I stopped paying the HOA because they weren't enforcing the rules: renters throw trash around, play loud music, deal dugs, and park in other people spots. There's been break ins and I've had the cops knock on my door asking if I've seen my neighbor because her door was found kicked in, blown off the hinges and wide open.
I bought the unit for $150k and pay about $1200 a month in mortgage. The renters pay $650.00. My property dropped $50k in the first year, now its worth $108,000. I had a lien on my property for 6 months of dues, $700. But they added attorney's fees, and now its $1250. Now they're trying to sue me and want $3000.00.
The unit has gone to hell. The appliances I thought were new turned out to be used. The washing machine doesn't work correctly, the AC unit has blown out and needed to be repaired by me, the property owner doesn't pay the water and has been turned off twice (but has been turned back on).
I want to get the hell of out this place. I figure I'm spending over $12000 to live here, and if i just moved into an apartment and saved the money, in 10 years, I could have $60k saved versus paying mortgage. If i stay here for 10 years, I can't sell my unit for $210,000 and get $60k in equity (would have to sell over $200 a sf).
I'm starting to struggle to make the payments now. My morgage is due on the 1st, but I end up paying on the 15th and have a $50 late fee.
I have $12000 in credit cards and loans that I'm trying to pay back, because I've starting living on credit because my disposable income has dropped to 0 and I've been using it to buy groceries, gas, house repairs, car repairs and such.
I've been good on making all the payments on credit cards and stuff on time, so I don't have any past due debt. Im paying more than the minimum for my credit cards, and hope to have them paid off within 3 years, but I can pay them way faster if I didn't have the house.
Is it worth it just dump the house and move on with my life? I've understood what everyone says about "being more responsible, biting off more than you can chew..etc," but take this for what it is: a bad business decision. This property is costing me money and its not worth my time or money to keep it - Leaving ethics and emotion out of it, is is worthwhile long term and financially to accept a foreclosure and save the money and try again in 5-10 years ?( I'm 23 now, bought the house at 21). I have no money vested into this place, and its caused me nothing but problems since I moved in..literally, my realator said heres the keys good luck. Never heard from them ever again. The escrow company never gave me back my earnest deposit and lost it, and the HOA doesn't do anything, but still wants money.
What about the HOA dues? Should I file bankruptcy and just start my life fresh? I don't have any other property, and I don't have any money for them to take - I'm basically living paycheck to paycheck, and don't see any way out for at least 30 years (or until the mortgage is gone).
I don't want to lose my car that I'm paying for, and I can't afford to pay $20000 in debt plus my regular living expenses (about $600 a month)
I bought the unit for $150k and pay about $1200 a month in mortgage. The renters pay $650.00. My property dropped $50k in the first year, now its worth $108,000. I had a lien on my property for 6 months of dues, $700. But they added attorney's fees, and now its $1250. Now they're trying to sue me and want $3000.00.
The unit has gone to hell. The appliances I thought were new turned out to be used. The washing machine doesn't work correctly, the AC unit has blown out and needed to be repaired by me, the property owner doesn't pay the water and has been turned off twice (but has been turned back on).
I want to get the hell of out this place. I figure I'm spending over $12000 to live here, and if i just moved into an apartment and saved the money, in 10 years, I could have $60k saved versus paying mortgage. If i stay here for 10 years, I can't sell my unit for $210,000 and get $60k in equity (would have to sell over $200 a sf).
I'm starting to struggle to make the payments now. My morgage is due on the 1st, but I end up paying on the 15th and have a $50 late fee.
I have $12000 in credit cards and loans that I'm trying to pay back, because I've starting living on credit because my disposable income has dropped to 0 and I've been using it to buy groceries, gas, house repairs, car repairs and such.
I've been good on making all the payments on credit cards and stuff on time, so I don't have any past due debt. Im paying more than the minimum for my credit cards, and hope to have them paid off within 3 years, but I can pay them way faster if I didn't have the house.
Is it worth it just dump the house and move on with my life? I've understood what everyone says about "being more responsible, biting off more than you can chew..etc," but take this for what it is: a bad business decision. This property is costing me money and its not worth my time or money to keep it - Leaving ethics and emotion out of it, is is worthwhile long term and financially to accept a foreclosure and save the money and try again in 5-10 years ?( I'm 23 now, bought the house at 21). I have no money vested into this place, and its caused me nothing but problems since I moved in..literally, my realator said heres the keys good luck. Never heard from them ever again. The escrow company never gave me back my earnest deposit and lost it, and the HOA doesn't do anything, but still wants money.
What about the HOA dues? Should I file bankruptcy and just start my life fresh? I don't have any other property, and I don't have any money for them to take - I'm basically living paycheck to paycheck, and don't see any way out for at least 30 years (or until the mortgage is gone).
I don't want to lose my car that I'm paying for, and I can't afford to pay $20000 in debt plus my regular living expenses (about $600 a month)
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