First Reliance Loan Mod

[mbmullen]

Okay, so this is what our lender is offering us:

5% rate reduction with a re-amortization of 35 years. However, there is a five year balloon.

We are at least 100K upside down in this house and don't see how it's possible that it will regain the value in 5 years. How can we refinance in that time if we're still underwater?

This doesn't seem to make financial sense to me. As much as I want to keep the house we'll really be stretching to make that payment at this rate ($1800p/i).

Any advice????

[Moe Bedard]

If you feel that it is a plan made to fail, counter them and tell them that. Say that you are prepared to walk (if that is what you plan) if you don't obtain long lasting help and hope. Remember, this is much like poker and anything can happen.