Reasonable Idea??

[Cali]

IMO, you aren't going to be able to make this work. If you are negative when you move, you don't have reserves and who knows what can happen to the house with renters in it..you will be where you are at now or worse and your bK will be discharged.

'Trying to save the house', so that maybe I will have something when I get older.

[BK2008]

I never reaffirmed on the mortgages, although the payments have been current (until this month). I planned a ridethrough until I stop paying, and they start evicting....

Do I have to completely stop paying before my discharge date??
I was under the impression as long as I don't reaffirn, I can stay as long as I pay.

Funny thing is, the people that want to rent mine are in foreclosure on their own. Their house ended up costing them more than they anticipated (familiar story).

[deafbroke]

I never reaffirmed on the mortgages, although the payments have been current (until this month). I planned a ridethrough until I stop paying, and they start evicting....

Do I have to completely stop paying before my discharge date??
I was under the impression as long as I don't reaffirn, I can stay as long as I pay.

Funny thing is, the people that want to rent mine are in foreclosure on their own. Their house ended up costing them more than they anticipated (familiar story).

In my opinion the people renting the house might not be the best candidates to rent to. A couple things I'd consider are:

1) If there is room in the house, could you rent a room out rather than the whole house?
2) It may be simpler to just stop paying the mortgage and do a ridethrough in BK on it. Eventually it will be foreclosed on but you can stay there for a while, not pay the mortgage and have more time to find a place you can afford in town and find a more affordable daycare or sitter.

Option 2 would be my choice. You'll e able to qualify to buy a home again 2 years after your bk. That gives you time to rebuild your credit, and find a place you can buy that will fit your needs better.

I did just that. Our hobby farm is going to be foreclosed on. We moved into town to save gas. I hate living in the city. Can't stand it. But it is the best option for us at this point. Our bankruptcy will be closed hopefully sometime in july and we are doing a lease to own on the house we rent.
We will evaluate our situation again later but for now the hobby farm was not in our best interest even though I loved it and living in the country. We bascially just did what was best for our financial situation and tried to leave feelings out of it. It's a sacrifice but one we needed to make and one you might think about. It might simplifiy things for you as well as save you money.


DB

[BK2008]

2) It may be simpler to just stop paying the mortgage and do a ridethrough in BK on it. Eventually it will be foreclosed on but you can stay there for a while, not pay the mortgage and have more time to find a place you can afford in town and find a more affordable daycare or sitter.

Option 2 would be my choice. You'll e able to qualify to buy a home again 2 years after your bk. That gives you time to rebuild your credit, and find a place you can buy that will fit your needs better.

I did just that. Our hobby farm is going to be foreclosed on. We moved into town to save gas. I hate living in the city. Can't stand it. But it is the best option for us at this point. Our bankruptcy will be closed hopefully sometime in july and we are doing a lease to own on the house we rent.
We will evaluate our situation again later but for now the hobby farm was not in our best interest even though I loved it and living in the country. We bascially just did what was best for our financial situation and tried to leave feelings out of it. It's a sacrifice but one we needed to make and one you might think about. It might simplifiy things for you as well as save you money.


DB

I'm thinking if I foreclose, it's going to be pretty quick (2 or 3 months in Texas, they get right to it, from what I read). I will never be able to purchase again, no downpayment...it's in this house.

I am also thinking that if I foreclose, instead of messing around with renting here, I will probably sell most of my stuff and move to where my family is. The wages are higher (and so is the COL), but at least I have some backup.
Never in my wildest dreams did I think that raising 2 kids on my own would be this challenging (I knew there would be some, but this has been never ending problems).

And since my job is on life support, what else could I possibly lose?

PS: I'm with ya on the city thing...I love living in a rural area. I just can't afford the gas anymore to get to the city to work.

[BK2008]

IMO, you aren't going to be able to make this work. If you are negative when you move, you don't have reserves and who knows what can happen to the house with renters in it..you will be where you are at now or worse and your bK will be discharged.

I've thought about that, too. Fortunately, it is a new home, so it shouldn't experience many problems, if any.

[Cali]

BK2008 - If you can move to where family is, I would do that. Do you think you will be able to find a job? And would someone in your family be able to help with the kids?

I admire single parents. I know how hard it can be, even though I am married my hubby is deployed often..so I've been the only parent home for most of children lives.

[BK2008]

BK2008 - If you can move to where family is, I would do that. Do you think you will be able to find a job? And would someone in your family be able to help with the kids?

I admire single parents. I know how hard it can be, even though I am married my hubby is deployed often..so I've been the only parent home for most of children lives.

Yes, they are in California, my SIL tells me to come out, stay with her until I get back on m feet. I imagine the job market is like anywhere else.
Just the COL is way higher then Texas...and TX has no state income tax.
There are alot of pros & cons to both sides.

I was thinking to stay in the house until they foreclose, at that point I should have a better idea on what is up with my job, and that will give me time to sell most everything (it costs more to move out of state than to repurchase the stuff) and get on out to the golden state.

[Cali]

I am a Native Texan, but live in California. I prefer CA over TX though.

I wish you luck on whatever you decide and I will keep you in my prayers.

Yes, they are in California, my SIL tells me to come out, stay with her until I get back on m feet. I imagine the job market is like anywhere else.
Just the COL is way higher then Texas...and TX has no state income tax.
There are alot of pros & cons to both sides.

I was thinking to stay in the house until they foreclose, at that point I should have a better idea on what is up with my job, and that will give me time to sell most everything (it costs more to move out of state than to repurchase the stuff) and get on out to the golden state.

[CindyLou]

I just want be sure that we are all on the same page regarding what a "ridethrough" is. A ridethrough is when you continue to pay your mortgage and don't reaffirm. The bank does not foreclose and instead allows you to live there as long as you pay.

If you decide to stop paying and go through the foreclosure process and live there until they make you leave...this is not a ridethrough....I don't think there is a particular name for it....someone know of one? We could make one up......"Closethrough" hahhaaha.

[BK2008]

Those home loans should then show up as 'included in bankruptcy', correct??

My first is reporting as if nothing is going on, the 2nd is 'closed account' included in BK, altho payments have been made.

Is that the proper procedure??

I like the term 'evictthrough' myself. seems more, umm accurate??

[deafbroke]

I'm thinking if I foreclose, it's going to be pretty quick (2 or 3 months in Texas, they get right to it, from what I read). I will never be able to purchase again, no downpayment...it's in this house.

I am also thinking that if I foreclose, instead of messing around with renting here, I will probably sell most of my stuff and move to where my family is. The wages are higher (and so is the COL), but at least I have some backup.
Never in my wildest dreams did I think that raising 2 kids on my own would be this challenging (I knew there would be some, but this has been never ending problems).

And since my job is on life support, what else could I possibly lose?

PS: I'm with ya on the city thing...I love living in a rural area. I just can't afford the gas anymore to get to the city to work.

In Texas the redemption period for homestead is 6 months I believe. It may be longer. So you can stay in the house 6 months. They can't sell the house until the redemption period is over.

DB

[BK2008]

I think TX doesn't have a 'right to redemption' from what I've read.

I think it's 60 days.