[paigowman]

Hello,

With regards to upside down investment properties, is there a strategy on which solution to use -- loan modification or short refinance and/or HELOC settlement? Are there any other options?

I have a first and second (HELOC used for purchase) and both interest only w/ Bank of America. Both loans used to be with Countrywide. How do I find out who the investor(s) is/are? Will they request income and bank statements?

Details:
1st 248K
2nd HELOC 62K

Purchase price: $310K
Appraised value: $195K

Latest comps: $130K-160K

Rental income is good. Rents have dropped by 20%. I was positive cash flow first year 2007. Last year was negative $8K. This year probably 6-8K plus I have to pay back $7K I put on CC for 2008 taxes. Tired of losing money...

Sorry so many details -- I've been reading all these boards every night and am hopeful -- just don't know where to start and I want to make sure I have a good game plan!!

Thanks,
Alex