$758K: 1st mortgage - loan modified
$100K: 2nd mortgage - not modified
- - - -
$858K: Total
$600K: approximate market value of home in NJ 07093
1st mortgage has been modified to the classic 2% and increases in years 5-9 like all other mods, no principal reduction (was previously an Option ARM)
In regards to the 2nd mortgage, don't see the value in modifying, so let it charge-off.
Can possibly pursue a cash settlement once accumulating the funds, however there should be no perceived risk of foreclosure action from the 2nd - NO EQUITY.
Values have depreciated further since.
One can save the ~$3500/month as a down payment in another person's name after a year+. (would still pay maintenance and utilities)
Walk away strategically?
$100K: 2nd mortgage - not modified
- - - -
$858K: Total
$600K: approximate market value of home in NJ 07093
1st mortgage has been modified to the classic 2% and increases in years 5-9 like all other mods, no principal reduction (was previously an Option ARM)
In regards to the 2nd mortgage, don't see the value in modifying, so let it charge-off.
Can possibly pursue a cash settlement once accumulating the funds, however there should be no perceived risk of foreclosure action from the 2nd - NO EQUITY.
Values have depreciated further since.
One can save the ~$3500/month as a down payment in another person's name after a year+. (would still pay maintenance and utilities)
Walk away strategically?