COLUMBIA — For homeowners upside-down on their mortgage — owing more on the loan than the house is worth — foreclosure isn’t necessarily the only option

There also is a short sale.
 

Columbia homeowner's one of the main benefit of a short sale is that in many cases you may get out from under your mortgage without liability for the deficiency. A deficiency occurs when what you owe on your mortgage exceeds the amount you get when you’ve sold your home.

It is a negotiated loss to the bank between borrower and bank. “You may not even get hit with a deficiency judgment — off the hook.”

But please Columbia homeowner's don’t expect the process to be simple and effortless. Remember you are asking the lender to take a loss on your mortgage, and the financial institution won’t agree to that easily.

“Getting out of a loan is just as hard, if not harder, than getting qualified for a loan. “They’re going to check your finances to make sure you don’t have money hidden away.”

“They will make sure your account is not reflecting any income coming in, “They’re going to make you prove you can’t afford it.”

Get help:

#1 Columbia homeowners need to find a real estate agent who has done short sales before.

Making Homes Affordable Program Available for Columbia SC Residences

Making Home Affordable Offers Solutions

Columbia South Carolina homeowners should know the Making Home Affordable Program (MHA) ® is a critical part of the Obama Administration's broad strategy to help homeowners avoid foreclosure, stabilize the country's housing market, and improve the nation's economy.

Thousands of Columbia South Carolina homeowners have been helped by MHA programs. Columbia SC Homeowners in MHA modifications (HAMP) are typically saving more than $500 each month. And now, there are new opportunities for help. Any Columbia SC Homeowner having a tough time making their monthly mortgage payments should , Request a Modification Now!.
 

Columbia SC Military homeowners should check out the New! Military Resources:

Columbia SC Service members whose PCS orders have made it difficult to keep up their mortgage payments may now be eligible for mortgage help through MHA. Visit  Military Resources page.

Any Columbia SC homeowner that is having a tough time making their mortgage payment should seek help, and explore all their options
 

Columbia SC homeowners can get free advice from a housing expert. HUD-approved housing counselors work with you and your mortgage company on your behalf, and their expertise is available for free. Call 888-995-HOPE (4673) to speak with an expert about your individual situation.

Columbia Homeowners can lower their monthly mortgage payments and get into more stable loans at today's low rates. And for those Columbia homeowners for whom homeownership is no longer affordable or desirable, the program can provide a way out that avoids foreclosure. Additionally, there are options for unemployed Columbia SC homeowners and Columbia SC homeowners who owe more than their homes are worth.

Resources from Making Home Affordable.gov

South Carolina Homeowners Beware, Bank of America is in Federal Court- Accused of routinely denying qualified borrowers a chance to modify their loans to more affordable terms. 

Some Columbia Homewoners may have been lied to while working with BAnk of America loss mitigation department, while many Columbia Homeowners were delayed or stonewalled in the HAMP (loan) modification process in order for Bank of America to collect more fees, and ultimitaley upsell the borrower to a more costly in-house loan modification, charging rates 3 points higher than the 2 percent rate available under HAMP guidelines.

Nearly 850,000 Home Borrowers Escape NegativeEquity In Q1

"The impressive home price gains of 2012 and the beginning of 2013; Helped, 1.7 million borrowers regained positive equity."

Overall, 9.7 million borrowers, or 19.8 percent of all residential mortgages, were underwater in the first quaarter of 2013, down from 10.5 million, or 21.7 percent of all mortgages, in the previous quarter, acccording to the data provider's estimate.

As more homeowners are freed from negative equity, prices might also stabilize in certain markets.

While 850,000 returned to positive equity in Q1, 2.1 million residntial propeties are at risk of transitioning into negative equity if home proces were to fall since they have less than 5 percent of equity in their homes. Another 11.2 million borrowers have a less than 20 perent of equity compared to the average amount of 32.8 percent for all mortgaged propetes.




-­‐-­‐-­‐sources DSNews.com, Housingwire.com, and Bloomberg.com-­‐-­‐-­‐