Trouble with Sale of Home

[simbob75]

We have a farm for sale in Shiawassee County, Michigan. It seems that we can not afford to sell it.

A friend and I are consolidating households and are selling one of our two houses. The house for sale is in a location where the market is depressed. Also because of county laws, a new septic field will have to be installed PRIOR to transfer of title. The house has been on the market for over a year with little interest.

Money is tight to the point where we will not be able to keep up both house payments. Price can not be dropped any further and still be able to cover mortgage AND cost of replacing septic field.

We are not delinquent on any payments as of this time, but are wondering what our options are? We have already sunk a large amount of money to prepare the house for sale and each month watch another $1100 go down the drain to a house payment.

Renting the place out does not seem an option because the rent would have to be high enough to pay for repairs as well as cover the $1100 mortgage/insurance payment and nobody is going to want to pay that much in rent.

What will reprocussions be if we just stop paying and let the place foreclose? In Michigan, what other assets can they come after?

Friends have suggested Bankrupcy, but the owner of the house for sale is not carrying much dept other than the house for sale so it doesn't seem like a good option.

Incidently, it is a very nice place for sale at a low price, but the nearby industries are dying and people are moving out, not in. The situation got even worse in that at the house we are staying in (not selling), the well just died and is getting replaced next week at a cost of nearly $5000 - money we don't have to spend.

HELP!

[simbob75]

Please let me know if this would be better suited to the Banckruptcy section of the forum.

Thank you.

Rich

[HomeGuru]

Originally Posted by simbob75

We have a farm for sale in Shiawassee County, Michigan. It seems that we can not afford to sell it.

A friend and I are consolidating households and are selling one of our two houses. The house for sale is in a location where the market is depressed. Also because of county laws, a new septic field will have to be installed PRIOR to transfer of title. The house has been on the market for over a year with little interest.

Money is tight to the point where we will not be able to keep up both house payments. Price can not be dropped any further and still be able to cover mortgage AND cost of replacing septic field.

We are not delinquent on any payments as of this time, but are wondering what our options are? We have already sunk a large amount of money to prepare the house for sale and each month watch another $1100 go down the drain to a house payment.

Renting the place out does not seem an option because the rent would have to be high enough to pay for repairs as well as cover the $1100 mortgage/insurance payment and nobody is going to want to pay that much in rent.

What will reprocussions be if we just stop paying and let the place foreclose? In Michigan, what other assets can they come after?

Friends have suggested Bankrupcy, but the owner of the house for sale is not carrying much dept other than the house for sale so it doesn't seem like a good option.

Incidently, it is a very nice place for sale at a low price, but the nearby industries are dying and people are moving out, not in. The situation got even worse in that at the house we are staying in (not selling), the well just died and is getting replaced next week at a cost of nearly $5000 - money we don't have to spend.

HELP!

**A: search short sale and deed in lieu of foreclosure.