What to Do if You are Under Water

What to Do if You are Under Water

You are ‘under water’ on your home if you the amount that you owe on your mortgage is greater than the amount you can sell your home for, minus all selling costs. If you have found yourself in this scenario – don’t panic. You have a lot of options. Here are just a few:

1. Find out if you really are under water

The good news is that you might not be! But you won’t know until a licensed, professional, experienced Realtor evaluates your home – in person. Yes, it is possible to give a market evaluation over the phone. I know Realtors who do it all the time. The problem is that these over the phone evaluations can be off – way off! Give me a call today at 410-480-3555. I will gladly discuss your situation over the phone, and if warranted, come to your home to give you a detailed market analysis of your property. Don’t be concerned with wasting my time. When you’re trying to make a decision, you need solid, reliable information, and I’d like to be certain that you get it.

2. Refinance

After you’ve received a market evaluation, speak with your lender. You may qualify for one of many refinance programs. Some are even streamlined and don’t need a new appraisal. Call your own lender first to see what programs your lender might be offering. If you don’t have any luck with your own lender, call another trusted lender. There are so many programs out there, and they are changing so rapidly, I can’t post them here on my website. Give me a call and I can connect you with a reputable lender who may be able to help your situation.

3. Stay Put.

If you can afford your payments, and you don’t have to move, and you can’t refinance, this may be your best option. Give the market time to recover, while at the same time paying down your principle. In a year or two, your situation might be very different. I would be happy to re-evaluate for you at that time to see if moving might be an option for you.

4. Move, and Rent Out Your Current Residence

This is not for the faint of heart. Nor is it for the homeowner without cash reserves. Being a landlord involves getting licensed, having your home inspected, installing smoke and carbon monoxide detectors, finding and qualifying tenants, staying on top of regulations and laws, taking care of repairs, pests and home maintenance, and a number of other headaches.

5. Consider a Short Sale.

The Short Sale process has become streamlined over the past few years, and greatly de-stigmatized as more and more homeowners are turning to Short Sales as a solution. A Short Sale is a sale in which the Lender will accept less than the full amount of what you owe for the sale of your home. As a Certified Distressed Property Expert, I am a trained Short Sale Realtor and I have experience in successfully closing these deals. Call me at 410-480-3555 to find out if you qualify for a Short Sale.

I also have a list, “13 Options for Avoiding Foreclosure”. To receive a copy of the list, give me a call today.


I am always staying on top of what is going on currently in the short sale industry. I just recently attended a training given by a Lender where I received valuable new information.

Because of the changes in foreclosure laws all over the country, it is becoming more difficult for banks to pursue this path. As a result, banks and servicers are often contacting Homeowners who are behind on payments and offering incentives for pursuing a Short Sale.

What does this mean for you? If you are more than two months behind in your payments – open your mail!!! This Lender was offering incentives for Sellers pursuing a Short Sale that range from $3,000 to $30,000!!!

The amount your Servicer may offer you can vary. It is individual for each and every case. But don’t hide from your mail, it may not always be the bad news and threats that you think it is.

And as always, feel free to give me a call anytime at 410-480-3555.

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The McIntyre Team – Homes Saved from Foreclosure: