Getting out of a mortgage

Hello, my name is Mike. My wife & i purchased our mobile home back in 2000. It is our first house, so we were really excited at the time. Since we had no credit back then, we were charged a high interest rate...21%

Now 5 years later, we feel "stuck" where we are. Don't get me wrong, i love my house, and our park. its very peaceful & quiet here, and have very spacious yards\lots. However, lot rent has gone from $240-$345 since we have lived here. Its just getting a little ridiculous paying that along with a $300 house payment. Thats over $600 per month we are paying to buy our mobile home & rent our lot.

The bad part, we filed bankruptcy last year. We did'nt file on our home though..we kept that loan & reafirmed on it. I kind of wish we did file on our house though, because we may have been able to just start over agian with a new home someday, instead of stuck here with bankruptcy on our records.

We would like to get out of this mortage, and get a real house someday soon. Soon meaning, 2-6 years. Since our interest is so high, we are paying rouphy 50,000 for a 14,500 (principal cost) home! How do I get out of this mortgage? I know a lot of you will tell me to just go seek a realtor for advice, but i figured i could get some info from you first.
Everyone thinks a mobile home is so great to have, because its "moveable"...LOLLOLLOL They hav'nt considered the costs of moving a mobile home, its rididculous imo.

Thanks

Edited: 06/26/2010 at 02:53AM

N/A N/A

9 posts
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Feb 03 '06, 07:28 AM

First of all,
I don't know what I am talking about, I am just speculating here. It seems to me that you should be able to barter your interest payment down on your loan. or else get another loan from somewhere else secured with your unit. The bank SHOULD work with you, they don't want to lose you because they are to expensive, and there HAS to be a way to re-fi a mobile home. Doesn't there. Like I said though, I am just speculating that's why it says newbie next to my name and not guru. Hope I gave you something sorry I didn't have more.

Edited: 06/26/2010 at 02:54AM

Bryan Casteel

Real Estate Agent · Cincinnati, OH

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Feb 04 '06, 06:51 AM

Don't forget that a mobile home is not real property, it is personal property and it losses value with time. Just like a car, it is very possible to owe more on the mobile home than the home is worth. That type of interest rate is very high and it would be best to try to refinance, but the pricipal balance on the loan needs to be lower than the appraisal value of the home.

The bankruptcy is going to really botch things up as a new lender is not going to get involved in a refi until the bankruptcy is discharged.

Edited: 06/26/2010 at 02:54AM

Wojtek Wlodarski

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Mar 05 '06, 12:44 AM

A manufactured home (at least the ones I dealt with) start as a vehicle and then when the foundation is poured and it's attached to it and all the axles and wheels are taken off, they "destroy" the title and convert the house to real estate. When you refi you still need to have a licensed contractor do a foundation inspection on a manufactured home. These homes that I've dealt with were never in mobile parks so your case might be different.

Edited: 06/26/2010 at 02:55AM

Deborah Beeksma

26 posts
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Aug 03 '06, 05:33 AM

Would it be possible to get some land and then move the mobile to the land? Of course, you'll need the foundation etc. as discussed above so that the home will have some more value. Over time, as you keep up with payments, if the home is considered part of the real property, you might be able to get a refinancing package for both the land and home.

Just a thought...At least you'd have some equity in the property that your home is sitting on.

Deborah

Edited: 06/26/2010 at 03:02AM

Jim Nasium

4 posts
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Feb 17 '08, 02:06 AM

Originally posted by "IndianaMike"

Hello, my name is Mike. My wife & i purchased our mobile home back in 2000. It is our first house, so we were really excited at the time. Since we had no credit back then, we were charged a high interest rate...21%

Now 5 years later, we feel " stuck" where we are. Don't get me wrong, i love my house, and our park. its very peaceful & quiet here, and have very spacious yards\lots. However, lot rent has gone from $240-$345 since we have lived here. Its just getting a little ridiculous paying that along with a $300 house payment. Thats over $600 per month we are paying to buy our mobile home & rent our lot.

The bad part, we filed bankruptcy last year. We did'nt file on our home though..we kept that loan & reafirmed on it. I kind of wish we did file on our house though, because we may have been able to just start over agian with a new home someday, instead of stuck here with bankruptcy on our records.

We would like to get out of this mortage, and get a real house someday soon. Soon meaning, 2-6 years. Since our interest is so high, we are paying rouphy 50,000 for a 14,500 (principal cost) home! How do I get out of this mortgage? I know a lot of you will tell me to just go seek a realtor for advice, but i figured i could get some info from you first.
Everyone thinks a mobile home is so great to have, because its " moveable" ...LOLLOLLOL They hav'nt considered the costs of moving a mobile home, its rididculous imo.

Thanks

This post makes me sick.

Let me see if I have this straight. You had no credit, someone took a chance on you and loaned you $14,500. You filed bankruptcy which probably made this person/company in a nervous wreck until you reafirmed the debt and now your asking how to get out of the mortgage. LOLLOLLOL.

:violin:

Be thankful you even have a loan at 21%. I know I wouldn't loan you money even at usary rates. Why not do the responsible thing, pay off this note and re-establish your credit so you can get more reasonable rates.

Edited: 06/26/2010 at 04:43AM

Cher Darin

Real Estate Investor · TX

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Mar 10 '08, 09:12 PM

Well.. THAT was a little rude, harsh, and unecesary! It looks to ME like the guy is trying to be responsible as to the HOME.. he didn't file IT in his bankruptcy, and rather than just ditching it, he's looking for alternative solutions to relocate without leaving the lender in a lurch. (Did I read that right??? I think I did.)

Fortunately, your attitude doesnt' seem to be the prevailing one on this forum. Maybe they can boot you before you become a huge egotistical issue on here? wow.

Edited: 06/26/2010 at 04:50AM

Frank Adams

· Loveland, CO

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Mar 10 '08, 09:16 PM

Well a $600 house payment is not bad in today's market. I'd suggest a part time job and get SERIOUS about getting his spending under control. I mean going BK when your house payment is that low means you're either working at MickeyD's or you're p***ing money away on frivolous stuff that you have no business buying.

My answer, stay where you are and get SERIOUS about working and paying off your bills.

all cash

Edited: 06/26/2010 at 04:50AM