Hello all and thank you for this forum. I am new to this so please excuse me if I am asking some rhetorical question.
Here is my situation....
We have bought and fixed up 4 homes over the last 12 years of our marriage, each time making a little profit and upgrading our home. Three years ago we finally bought a nice home with the intention of staying 4 years, finishing the basement and selling. We signed with Countrywide for a 5 year interest only arm around 6%.
Then the housing crash hits...no houses are moving in our price range (250-300K), even if we could get a buyer we would have to take a huge hit on the house. We have two neighbors across the street that have both tried to sell and eventually take them off the market...not hardly a showing in 6 months.
In addition to this our income has dropped due to the economy and job changes/loss. We got behind on our bills and our credit score is not very good, I think it is 560-620 depending on which service you ask.
Our loan is going to reset to a much higher rate in about 14 months. There is no way we will be able to make the higher payment. We can barely make the payment we have now.
My basic question is to ask if anyone knows it
CW will ever "extend" the terms of a current loan. I think we could be OK if we could continue at our current rate and get an extension of our loan for a few more years (2-3?), this would buy us some time to either get the house sold or get our credit score in better shape so as to refi at a competitive rate.
I have not talked with
CW yet, wanted to get some feedback here before I opened any can of worms with them. If they do allow for some type of extension is there usually cost involved?
I have heard that with the huge rate of foreclosures
CW now is more willing to work with homeowners BEFORE they get to the default stage, but after reading some posts here that might just be wishful thinking.
Thanks in advance,
David in Kansas City
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