Pilsen. West Town. Logan Square. Bridgeport. Man Jettisons $300k debt. Real Story.

Posted on August 20th, 2010 in All Articles, Bridgeport, Bronzeville, Chinatown, Lincoln Square/Roscoe/North Center, Lincoln Square/Rosoce Village/North Ctr, Market Conditions, McKinley Park, Pilsen, Short Selling/Buying, South Loop, West Loop, West Town, Wicker Park & Bucktown.

Chicago IL – I know a guy that wiped out 300k in mortgage debt. I’ll call him Tom. The name and some of the details have been changed to protect his privacy. Tom owed a lot of money on his house. He owed 600k on a first mortgage and then another 300k on a second mortgage.

<a href=”http://stopchicagoforeclosure.info/Short_Sale.html”>Discover how other sellers successfully did a short sale and request a free consultation by clicking here.</a>

Tom’s income dropped dramatically. He almost lost his home. He finally got a new job and was able to pay the first mortgage payment. Because they were closer to foreclosing, he found a way to pay them. But, he didn’t have enough money to pay the second mortgage.

So Tom didn’t pay the second mortgage. He was doing everything he could to save his home. The second mortgage called Tom a lot. “If you don’t pay us, then we will file for foreclosure”, they would say. <strong>Twelve months went by and no one filed for foreclosure.</strong>

Tom was quite surprised. “I had no idea when the sheriff was going to come out and kick us out”, Tom told me. We told him that most second mortgages never file for foreclosure. (Here is why they hardly ever do. In a foreclosure, the first mortgage gets paid off before the second mortgage gets a dime.)

In Tom’s case, his home’s value had dropped below the 600k he owed to his first mortgage. This meant that if the second mortgage did foreclose, then they would only lose more money. That is not a winning business proposition.

We also told Tom that he could probably settle with his second mortgage for five to ten cents on the dollar. That means he can eventually settle for $10,000 to $20,000. We first talked to him over a year ago.

Today, Tom still hasn’t made a single payment on his second mortgage. He has caught up all the payments on his first mortgage. In addition, he has been able to get back on his feet financially. <strong>He expects that he will settle with the second mortgage in a year or two.</strong> The first priority is getting all his other finances completely in order.

This story illustrates that you are not doomed. Many people owe more than their home is worth. They are able to short sale and get rid of the debt. Or, they can use creative strategies to reduce the level of debt. <strong>You can get your finances back in order with a little work and time.</strong>

Do you want to short sale your property and never pay the bank another penny? I can help you do that. Call me at (312) 953-6725 for a free consultation. When you call, I will explain how the process works in detail and answer any questions you may have. Or, if you prefer, you can e-mail me at <a href=”mailto:myrealtorphil@gmail.com”>myrealtorphil@gmail.com</a>.

Discover how other sellers successfully completed a short sale and request a free consultation by <a href=”http://stopchicagoforeclosure.info/Short_Sale.html”>clicking here</a>.

Thinking about a loan modification? Our Chicago Loan Modification Kit has the instructions you will need to get a loan modification approved with your lender. <a href=”http://stopchicagoforeclosure.info/Loan_Modification_Secrets.html”>Click here to request a copy.</a>

Thanks for reading this, Phil Buoscio.

Phil is a Real Estate Agent at Better Living Realty – Buoscio Brokerage, Inc..

Phone: (312) 953-6725. <a href=”mailto:myrealtorphil@gmail.com”>myrealtorphil@gmail.com</a>.

View My homes for sale at <a href=”http://”></a>.

Phil Buoscio specializes in short sales in Chicago Illinois. Chicago Loan Modification Help can be referred to you. Chicago Short Sales. Chicago Short Sale Realtor. Chicagoland Short Sale Realtor. Chicago IL Short Sales. Chicago Realtor. Pilsen. McKinley Park. Bridgeport. Wicker Park. West Town. Ukranian Village. Lincoln Park. Logan Square.

Copyright 2010 SFI Marketing Institute, LLC. All Rights Reserved.