My wife and I are mil to mil and have recently PCS'd from Hurlburt Field AFB to Barksdale AFB due to an AFPC force manning restructure. We have 15 month old twins and one on the way in January. I have a home near Hurlburt Field AFB that still hasn't sold and it's getting to the point of being a financial burden. I listed the house back in February and have had traffic on it and a few showings here and there but none have made an offer. I know the housing market isn't the best right now and have lowered the price of the home to a point where I will not make anything on it. I have completely remodeled and updated most of the house and currently have $40K of my own money into the house (New HVAC, Flooring, Water heater, Roof, etc..) and at the homes current price I will not recoup that and have accepted it. It is listed at a price where if it sells, it will just pay off the loan and pay the brokerage/realtor.
I am currently looking into renting it but my mortgage is $2,400 and rent for that area is $1,900-$2,300 and property management will take 10% so i'd be upside down approximately $400 every month but buying myself some time. I have already talked to my mortgage company to see if I qualified for anything to either buy me some time or if they had any kind of relief program and all they offered was a payment deferment but, they would still report it as a missed payment to the credit bureau and I don't want my credit to tank.
It will be going on 5-6 months of me paying the mortgage and I can only hold out another month financially. I need advice on if their are any options available to me. I do not want to have my house foreclosed on and it ruin my credit or have my security clearance looked at due to a financial hardship. I have an appointment to talk to my 1st Shirt tomorrow to see if he can point me in the right direction. Any advice would be greatly appreciated, thanks in advance!
PCS'd due to AFPC Force restructure and my house won't sell
byu/True_Goss inMilitaryFinance
Posted by True_Goss
3 Comments
If it’s not selling for that long, there is a reason. You have to fix the reason, OR lower the price to compensate for that reason. If the reason is price- lower the price.
Renting it out in February would have cost you so much less than floating the mortage all this time. But alas, spilled milk.
Unfortunately, you have no options but to cover the difference/loss, or accept a foreclosure and the consequences.
Do you have a good interest rate VA loan? If so, is it listed as an assumable loan? The low rate may attract more buyers.
If you can’t afford to keep it, you’ll need to lower the price and figure out how to handle the deficit. Buyers don’t care at all that you’re underwater on your loan.