Thursday, August 14, 2008

Stop This Homeowner Insanity Already!

IF YOU'RE ALREADY A HOMEOWNER...

... and you have a 30-year fixed rate (or even a 10-year fixed rate) and you have no intention of selling your home in the next five years, STOP WHINING ABOUT HOW YOUR HOME HAS GONE DOWN IN THE VALUE. Your rate ain't changing for a loooooong time, and even if your value has gone down, you're still going to be making the same payments you're making now, and if you're comfortable with those payments, I see no reason why you should be crying like a banshee.


IF YOU'RE A HOMEOWNER AND YOU DON'T HAVE ENOUGH EQUITY TO GET CASH OUT...
... it's not the end of the world. Live within your means, get a second job to pay for your needs and wants. Your house is NOT a giant ATM machine. It never was, to begin with.

IF YOU'RE A HOMEOWNER AND YOU DON'T QUALIFY FOR A REFINANCE TO LOWER YOUR RATE...
...don't walk out on your house just yet. You need to look into FHA loans first. If that doesn't work, have a loan modification company (I refer people to American Modification Agency, since they're the only one out there that's fully licensed and bonded, and approved by the three credit bureaus) work with your lender on making your payments more affordable. If that doesn't work, there are investors looking to buy your home (I work with a company that specializes in buying properties lickety-split). If all else fails, there are affordable litigation options that allow you to stay in your home for less than your current mortgage payments.

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