Stay or Go

[jlaperch]

I am fully discharged from chapter 7
I am 50k upside down on my house
i have 264 first mortgage
i have 117 heloc

we have planned on living rent free as long as we can and then moving to cheaper area of country...i'm self employed and my pre bk income and post are the same

now i am wondering if i should pursue a settlement with HELOC for 10 cents on the dollar and flip my equity question around...

doing so would mean taking all the saving i have now and putting it back into the house...which needs repairs of about 20k. But doing so also means i could regain about 50k in equity(in theory...nothing is selling for real right now)


or just walk away...and rent and start over all together...part of us did always want to move...

i know people will answer that this is a personal thing but go ahead and answer...we are looking for advice

[geye]

I really wanted to vote for the third because it's funny but I decided to go with my real answer. You want to pay off the equity loan at around 11,700, sink 20,000 into the home, all for a theory that nets you less than 20,000 gain. My house dropped in value more than 20,000 in the past year alone.

And, remember: you can't buy food or gas with a theory.

[jlaperch]

need a funny third one...first 2 options blow...but love your answer...and that is kinda my thoughts...but a friend was convincing me last week i needed to stay because SOMEDAY it will be worth something...but so will a new house if and when i buy it...no?

[AngelinaCat]

...but a friend was convincing me last week i needed to stay because SOMEDAY it will be worth something...but so will a new house if and when i buy it...no?

You are quite correct. Why stay in a house and place and possibly throw good money after bad, when you can move somewhere else that is a little cheaper to live...

Good luck to you whatever you eventually decide to do.