What's My Best Course of Action?

[rebeccarollers]

What is the name of your state (only U.S. law)? OH

1st Mortgage (citimortgage) 85,500.00, and 2nd mortgage (Homecomings Financial) 27,500.

"EST" value 79 - 80,000.00.

8 years ago I had a good paying job with a major airline, became disabled about 5 years ago and I now receive Social Security Disability. My wife's name is not on either mortgage because of her bad credit. We've been separated since March and while separated she's been paying the 2nd Mortgage. We've now decided to get a divorce. The 1st Mortgage, 2nd Mortgage, and utilities exceed my SSDI payment.

Right now I'm current on payments and nothing is due until January.

I'd love to stay in the home but I see no realistic option of that happening. I hate being in this position because I've always had good credit. In my opinion my credit card debt isn't outrageous and if/when I lose the house I could have the cc debt paid off in a few months.

I realize and I've come to accept that my credit is going to be damaged possibly beyond repair. Can someone please advise what my best option is, what I need to do/ask for, and what would cause the least damage to my credit?

I don't know if this will help or make a difference the mortgages are in my name, but when they did the title they put the title in my name (steve) and my wife's (rebecca). Because her name is on the title could this effect her credit or could they go after her?

ThanksWhat is the name of your state (only U.S. law)?

 

[nextwife]

Get a prescreened roommate(or two) and ride it out until the market turns around, then sell.

 

[HUD-1]

You need to decide if you want to stay in the home or not. For you to stay in this home, income has to go up or expenses down. If the loans are at a high interest rate, ask the lender if they can modify the mortgage by lowering the interest rate and extending the term back out to 30 years. The roomate scenario also might be a good one to get income up. If you want to move out and find an affordable rent, approach the lender about a short sale or a deed in lieu of foreclosure. Contact your local housing authority for info on affordable rents (section 8 voucher etc) or a local HUD-approved housing counseling agency 800.569.4287 The lender should only pursue the individuals on the Note/Mortgage for repayment.