Brandon Homes For Sale ~ RE/MAX

What seemed like a housing market downturn is now nearly universally seen as the new normal. Accordingly, many homeowners are taking a tough look at their mortgage situations in the bright light of day.

I’ve also noticed that most upside-down homeowners don’t really want to default on their mortgages.  If you count yourself in that number, I thought I’d take the opportunity this New Year’s week to encourage you to harness the renewed energy and commitment that comes along this time of year and provide you with some direction for it, in the vein of avoiding foreclosure if you decide that is the right path for you.

Here are six alternatives to walking away, some are obvious, some less obvious, but all are underutilized, from my view.  

1. Get rid of your credit card debt. Again, this might seem obvious, but I’ve encountered a number of people who say they can’t afford their mortgage payments who actually could afford them if they dealt with their credit card and other debt.

Call your creditors and make an effort to settle your debt; many will take a lump sum payment much lower than your balance. While this might have tax and credit score implications, it might also help you keep your house. Or work through steps No. 2 and No. 3, below, to just eliminate those balances, by any means necessary.   Continue reading →