BEING FORECLOSED ON. :(

[mtnhomechick]

I know Monique has lots of good info on this. Hope you listen to her and pass it on to your mom and dad.

 

[Barry]

I hate to see anyone lose their house. Yet, some people I have known have managed to do just that and I ask why? It is some kind of gambling problem in the majority of cases I know of, and sheer stupidity in an others.

In this case they bought the house for $23,000 some 32 years ago. Even a 25 year mortgage would have been paid off 7 years ago.
The people that keep borrowing using their house as collateral will run into trouble.
My advise is that if nobody will lend to you without you taking out another mortgage on your house, you do not really need that loan.

I also have no respect for a bank that would lend out it's depositor's money without knowing that the borrower should have the ability to repay the loan.

I do not want to offend anyone but the global financial crisis has it's roots in cases like this. Can we learn something and move on to solving the real problems?

 

[Rare Feathers Farm]

Quote:
My grandmother got sick with cancer & no insurance. Her chemo was outrageously expensive. They used the money to pay her bills and then she died anyway.

So that is where it started. At that time, they were making $150,000 to $175,000 or so per year. Right before my grandma got sick, they remodeled their house (doubled it in size) and then their contractor "ran out of money" after giving them a quote and getting about 75% done on their remodel. They went after his bond or whatever it's called and he ended up losing his license and disappearing.

 

[mtnhomechick]

Quote:
My grandmother got sick with cancer & no insurance. Her chemo was outrageously expensive. They used the money to pay her bills and then she died anyway.

So that is where it started. At that time, they were making $150,000 to $175,000 or so per year. Right before my grandma got sick, they remodeled their house (doubled it in size) and then their contractor "ran out of money" after giving them a quote and getting about 75% done on their remodel. They went after his bond or whatever it's called and he ended up losing his license and disappearing.

A bad economy with high unemployment, soaring health care costs, inflation, declining stock values.....the perfect storm for a person to lose a home and a whole life's savings.

I could happen to many of us.

They tried to do the right thing by your grandma. God Bless Them.

Mary

 

[Rare Feathers Farm]

thanks...they are talking to a realtor now...

 

[HennysMom]

I'm so sorry. Your parents will be in my prayers.

Its easy for others to sit there and say things that make it sound so simple in laymens terms, as it may appear, however in reality there are thousands out there who - if they lost their jobs - would lose thier homes as well; bills or no bills, 1st mortgage or otherwise. Its just the way it is right now in this awful economy we are in. Retirement funds are gone, stocks are gone, savings are dwindling and jobs are precarious at best - so it could easily be any one of us. That doesnt make anyone stupid or anything else along those lines.

Judge not least ye be judged... right?

You have my sympathies and prayers...

 

[toletiquesbysam]

Hopefully the realtor can give them some good advise. They should be able to do a short sale to avoid a foreclosure!

 

[ruth]

I'm so sorry to hear of your parents' troubles and I was by no means casting any stones. I've been there myself. Just prior to my divorce my husband spent two years living in the casinos and gambling away our business, running up huge debts, legal issues and our home was in foreclosure before I filed for divorce and bankruptcy reorganization. I had a Sheriff's 'Three Day Eviction Notice' on the door to my home where I lived with my three young children when I filed for Reorganization protection. The Reorganization gave me time to get back on my feet. I eventually got the home refinanced in my name alone and dropped the Reorganization filing. I still have that home today and did have to borrow against the equity a couple of times over the years to make ends meet as a single parent who was self-employed.

Life and circumstances beyond our control happen to all of us and I would never be one to sit back and judge. My only reason for asking about the debt was because of what I watched happen with my parents. I was very torn between giving them the money they needed to get caught up (and I had done that in the past) but I knew they would not change their spending habits where my spoiled sister was involved and they would always be coming back for more money. In addition to running up their mortgages on an originally paid for home, they sold other homes and blew through hundreds of thousands of dollars in cash. Thus, I was faced with having to watch my mom cry about losing their home but knowing that if I continued to try and save them, nothing would change. The experience of having to finally sell it (and thus lose it anyway just not to foreclosure) did teach them a lesson though because the man that bought it gave them several months to get all of their junk out of the barns and out buildings and house and they didn't so he finally put up a fence and kept it all and the remaining $30,000 he was supposed to pay them when they got their junk all cleared out. When I say they spent a fortune on "junk" I meant it literally. They would go to the junk yard and bring home loads of it - stop on side of road and bring home stuff - go to every auction around - they are hoarders and it will never change. So sometimes you have to stop and decide if you are enabling or helping. In my case with my parents I had been enabling and had to stop.

I sincerely apologize if I have offended anyone.

 

[Rare Feathers Farm]

Quote:

THANK YOU! Yeah...when the economy took a nose dive, so did their business. They lost over $100,000 in their retirement when the stock market crashed.

 

[Rare Feathers Farm]

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Thanks...