My husband and I are in a tough spot. We can’t keep up with our mortgage anymore because of a big pay cut he got. We thought about selling, but the extra costs like closing fees and inspections are too much for us right now. We’re worried about ruining our credit with foreclosure or bankruptcy.
We’re in Oklahoma with a house worth about $255k according to Zillow. We still owe around $200-210k on it. Our down payment was 5% and we’re paying 3% interest. We’ve been here for almost 3 years.
We’ve got two kids (5 and 1) so renting a smaller place isn’t really doable. Renting out our place probably won’t cover the mortgage either. Taking on more work isn’t an option - my husband already works 70 hours a week, and I’m juggling 30 hours of work, grad school, and taking care of the kids.
Does anyone have ideas on how we could downsize without going broke in the process? Or any other suggestions to help us keep our heads above water? We’re really stuck here and could use some advice.
Have you considered seeking assistance from a housing counselor? They’re often free and can provide guidance on your specific situation. They might help you navigate options like loan modification or even government assistance programs you may not be aware of. Given your equity position, there could be alternatives to explore before considering more drastic measures. It might also be worth discussing your situation with your lender directly - some are more willing to work with homeowners than you might expect, especially if you approach them proactively before missing payments. Don’t be afraid to advocate for yourself and explore all avenues. This is a challenging situation, but there may be more options available than you realize.
Maybe talk to your lender about a payment plan.
Local nonprofits or state programs might also help. Have you explored any forbearance options? Could refinancing be a possibility? What alternatives have you thought about, considering your family’s needs?
hey there, sorry to hear bout ur situation. thats rough. have u thought about a short sale? it might help u avoid foreclosure n keep ur credit intact. might b worth talkin to a real estate agent who specializes in em. just a thought. hang in there!