Posted on: 10th Jul, 2010 10:16 am
I did a refi with HARP to make my payments more affordable. There's some stipulation about keeping the place as my primary residence for a year (think it's part of HARP, not just my bank). If I can't afford it any more, and am going to live with a friend (sleep on a couch etc) so I can eliminate utility bills too.
Since I don't have any other residence really, am I still okay? What if I have my mail forwarded there/car insurance changed (it's cheaper at her place)? I'm not paying rent, just doing chores to "earn my keep".
Since I don't have any other residence really, am I still okay? What if I have my mail forwarded there/car insurance changed (it's cheaper at her place)? I'm not paying rent, just doing chores to "earn my keep".
The same thing will happen when you move out as will happen when your mortgage goes late enough for them to start foreclosure proceedings. Mortgage lender probably will never know that you moved out unless you tell them, or they send an inspector out to check on the condition of the property. Since you apparently intend to not make any more payments you should look into selling (if you are under water, it'd be a short sale) or a deed-in-lieu of foreclosure in order to expedite the process.
but if it said I had to have it as my primary residence for a year, would they even consider a deed in lieu or (better) a short sale? If they were reasonable it would make sense for them to, but I didn't know if this whole "1 year" as a primary residence would work against me there. I could very well find a buyer - it's a nice place still, in a good area, but could they just say - "no - you haven't had this as a primary residence for a year yet."?
hi guest,
well, i haven't heard of any such specification that you need to stay in the property for 1 year after you went for harp. as you're unable to pay off the mortgage, you should contact the lender and apply for a deed in lieu of foreclosure rather than walking away from the property. a deed in lieu of foreclosure will not only help you in getting rid of the property but you won't be liable for the deficient balance as well. however, your credit score would go down by 250 points.
take care.
well, i haven't heard of any such specification that you need to stay in the property for 1 year after you went for harp. as you're unable to pay off the mortgage, you should contact the lender and apply for a deed in lieu of foreclosure rather than walking away from the property. a deed in lieu of foreclosure will not only help you in getting rid of the property but you won't be liable for the deficient balance as well. however, your credit score would go down by 250 points.
take care.