Chap. 13/House Payment

[chzhd]

We filed for Ch. 13 in April and started making our payments then....they are about $2,100/month. At that time we were planning on keeping our house, where the payments are around $2,000/month. Obviously we make decent money, but we are now having problems making the mortgage payments -- we have 2 kids with childcare, plus everything else. I have an agreement with the mortgage bank of a payment plan, but I now think it's going to be a problem to make those dates. We've cut back in several areas, my husband and I carpool to work, etc. We've sold things, but at this point, there's not much more to sell that would make a difference.

It seems like the only thing left is to either try to sell the house or foreclose on it....obviously, this is not a good time to try to sell a house. I'm just wondering if we do try to sell it, I should tell the mortgage co.? Could we try to sell it and at the same time, stop making payments? I don't know what to do. I'm also worried about finding a place to rent...we would tell them about the ch. 13 up front, but I don't want to end up in a dump....

Help!!!!!!

[optimistic1]

We filed for Ch. 13 in April and started making our payments then....they are about $2,100/month. At that time we were planning on keeping our house, where the payments are around $2,000/month. Obviously we make decent money, but we are now having problems making the mortgage payments -- we have 2 kids with childcare, plus everything else. I have an agreement with the mortgage bank of a payment plan, but I now think it's going to be a problem to make those dates. We've cut back in several areas, my husband and I carpool to work, etc. We've sold things, but at this point, there's not much more to sell that would make a difference.

It seems like the only thing left is to either try to sell the house or foreclose on it....obviously, this is not a good time to try to sell a house. I'm just wondering if we do try to sell it, I should tell the mortgage co.? Could we try to sell it and at the same time, stop making payments? I don't know what to do. I'm also worried about finding a place to rent...we would tell them about the ch. 13 up front, but I don't want to end up in a dump....

Help!!!!!!

First off, I am sorry that you are experiencing this issue, but proud that you are doing something about it.

By stopping making payments on your mortgage you risk your Chapter 13 for failure.

You need to call your attorney and tell him what you want to do.

A short sale or deed in leiu of foreclosure is the way to go.

You will need to amend your plan after finding a new place to live. Finding a new place will not be hard to find, many people like you are having trouble too, and landlords are forgiving.