We have all heard this phrase but it comes to mind especially right now since so many homeowners across our Arizona and even elsewhere are faced with two choices and neither one seems to be a great choice…..walk away from their homes or have it taken from them when they can no longer make the payments.   Many people are finding themselves in just this position.

After years of constantly increasing values and homes that were used as ATM machines, the bottom has fallen out and consumers are finding themselves in positions that they never thought they would be in.  For certain, there were issues with dishonest lenders, add that to the fact that there was greed on all parts, then, just for extra measure, throw in the fact that rates were incredibly low and programs too easy to qualify for from banks that were enjoying the money being made from these loans, and now you have all these factors added to the normal life issues people have including job transfers and divorces etc.

SO, are we there yet?  It all depends on who you ask but for many of the experts, we are right in the middle with the economic news getting worse.  The ride is not yet over.  For those that can, the key is to hold on and continue to make their house payments.  For those in adjustable rate mortgages, when the payments start to adjust upward, please call the lenders.  They are becoming more and more willing to work with borrowers in a bad situation.  For those in a better place, find and work with a reputable lender who can tell you the truth about the options available to you.  Finally, if there are no better options, consider a short sale before the foreclosure with an honest real estate agent.  It may  not be as damaging to credit as a foreclosure.

As always, feel free to call either Lorry or myself and we would be happy to help!!