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Chris Morrison

AgentTeam

52 Recent Sales (last 12 months)

Phoenix Realtor (15 years experience)

Specialties:
Buyer's Agent,
Listing Agent,
Foreclosure,
Short-Sale

Advice

  • (5 Contributions,
  • 0 Best Answers,
  • 2 Helpful)

Contributions are sorted newest to oldest.

I have a first and a second loan. The second is a HELC. I plan on walking away from the house. I liv

Answer

Please read: "The Mortgage Forgiveness Debt Relief Act and Debt Cancellation" http://www.irs.gov/individuals/article/0,,id=179414,00.htmlThis will explain an important deadline that's coming up at the end of this year.In my experience most home equity lines of credit are recourse debt. (meaning they can come after you)  The only real exception is if the home equity line of credit was used as a "purchase money mortgage." A good example of a purchase money mortgage is an 80/20 loan.  80% being the first mortgage and 20% being the home equity line of credit taken out at the time of purchase. The best thing to do is to contact a good attorney that can explain whether your loans are recourse or non-recourse.  Feel free to contact me and I can refer you to an excellent foreclosure attorney.If you are experiencing any type of financial hardship you may be a good candidate for a short sale. This would benefit you by giving you a little bit more control and the ability to possibly negotiate down the amount of recourse debt. I'm a short sale specialist and would be happy to talk with you.

  (0)
Is it a good time to purchase a home here in the Phoenix area?

Answer

We have some of the lowest prices and interest rates we will see in our lifetimes. Prices may continue going down...but interest rate are as low as they are going to get. If you are a cash buyer wait a year and see what happens. If you are in need of financing I would buy now.What are you paying for rent? I guarantee I can find you a much nicer home to purchase that will give you a lower monthly payment than rent.Keep in mind inflation is not your friend when you are renting.-Chris

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