Kim in Texas
12-29-2007, 03:29 PM
I bought home almost 4 years ago. When buying the home I did not plan on moving so I took a 80/20 with a $3000 prepayment penalty if I paid it off in the first three years (I almost wonder if I saved my butt sine it changed into a variable rate after three). I ended up moving after 2 and a half months A mortgage broker friend suggest and helped me get a Opt 4 mortgage incase there are no tennants and I could pay a very low payment if I chose. In refinancing, it added on that prepayment penalty and we also added my taxes & home owners insurance for that year so I could have the cash from my escrow.
Here's the problem, I can't rent the house for what I wanted. It barely covers the mortage payment and does NOT cover the $3500 for taxes and $500 for Insurance and I also have a prepayment penalty again for the next two years for another $4000. The payoff for the loan is about what I could sell the house for which is now at the point it is $14000 more than what I bought the house for. So if I sell the house what realtor fees and months I have no tennants the mortgage will come out of my pocket (If I am lucky they will stay until I find a buyer)
What do I do sell and eat the costs or hold on to the house and how I will come out even at some point of tine...............................
Here's the problem, I can't rent the house for what I wanted. It barely covers the mortage payment and does NOT cover the $3500 for taxes and $500 for Insurance and I also have a prepayment penalty again for the next two years for another $4000. The payoff for the loan is about what I could sell the house for which is now at the point it is $14000 more than what I bought the house for. So if I sell the house what realtor fees and months I have no tennants the mortgage will come out of my pocket (If I am lucky they will stay until I find a buyer)
What do I do sell and eat the costs or hold on to the house and how I will come out even at some point of tine...............................