I have 2 mortgages I can pay for one and not the other. Can I live in the house?
My first mortgage is 180,000 payments 1121.00 2nd mortgage 30,000 567.00 a month. I can only pay for the 1st mortgage which is 1121.00 Can I file bankruptcy on the second mortgage but still live in the house.
Or what can I do so I can still live in the house I can only pay for one.
Rent one out and use the money to pay the mortgage.
definately call the bank and tell them what is going on. DO NOT AVOID THEM!!! They have no interest in taking your house. They would rather work something out with you. I would go in an meet with someone ASAP.
Sit down with the bank right now. I mean it. It is not worth the potential for credit failure. Then you need to rent out whichever one you can get the monthly mortgage, any fees and at least 20 percent over. You will have to repair things at some points. If you can’t get this out of the lower mortgage, suck it up and move to that one and rent the other one. It is worth the move, you will get back on your feet with no bankruptcy.
I think you better move into the $567 month house. Sell the other house $1121 a month and sell it for what you owe. Now is not the time to wait for foreclosure. Get renter for both and live else where. Sell both and start over. You can file bankruptcy if ya want. Better off to sell $180,000 house. Move into the other house. Filing bankruptcy is the kiss of credit financial death. Expensive process and the fees are paid in advance…— CASH
Some of the advice you got up to this point may be confusing, as they are talking as if you had two houses. I think you have a first and second mortgage on one house. The advice to get with your mortgage lender(s) quickly is correct. Lenders do not want to forclose. They make their money by selling loans, not houses. See what the lender(s) can work out with you — possibly a lower payment over a longer time. If you are contemplating bankruptcy as a way to essentially walk away from your 2nd mortgage, I recommend you talk to a lawyer right now.