I have been trying to sell my house for almost 1 year, with no luck. The balance of the mortgage is approx 49000.00 and the area that it is in is selling houses with more, at a lesser price. The average market value for the area with my type of home is approx 41000.00.

The mortgage company has been unwilling to accept a loss on the balance owing even though they have received approx 47000.00 in interest alone since the inception of the mortgage. There are still 19 years on the mortgage.

To top that, the home insurance provider believes a new roof is needed even though there is no proof of leakage or damage. The roof is 16-18 years old. The insurance company advised the roof may be a deciding factor as to whether they insure this property in the future. I've about had it with both companies. There was no PMI in the mortgage papers, the original mortgage company sold to another. This was a special FHA mortgage.

Any advice?

Not sure of the consequences. Noting this information is confidential, I feel assured that you will not use my name if referring out to insurance and or mortgage companies.

Thanks.

C.
Buffalo
New York

Answer:

Hi C.,

Are you trying to sell your house? If so, your bank will want to be paid off in full. You may try asking if you can assign the balance of your existing mortgage to the new buyer. It you are trying to consolidate debt you may have to contact some sort of credit counseling company such as http://www.buccs.com/ or http://www.nfcc.org/. They could try to renegotiate the terms of our mortgage.

As far as the roof is concerned. It sounds like it needs to be either replaced or have new shingles placed over the old ones to create a new layer. All lenders will want the roof in good condition. If you are selling the lender may be willing to close with money held in an escrow account to be released upon completion of the roof. You could have the seller put this money up or split the expense.

I hope I have answered your question.

Rest assured your email is held in the strictest confidence and you will not be marketed to any other companies.

Gus Laserna
Branch Manager

The Mortgage Zone, Inc
"Financial Planning Through Mortgages"
54 West 21st Street Suite 707
New York, NY 10010
ph: 212 485-1600 x100
cell: 917 842-3799
fax: 212 898-1361