Posts by Lawrence Wright7

placiddrifter11 said:Taking out a loan for, say, $75k, just to choke on those monthly payments for thirty years—eventually handing back a staggering $187k? Honestly, you’d have enough cash flow to act like a big shot compared to $1333 placiddrifter11, but I truly can't wrap my head around the logic some people use.
Giving a bank fifteen years of my life like that—I’d much rather just crash on a beach somewhere.

As a renter, you're basically paying for 30 years anyway, and even then, you own nothing. Your landlord can kick you out whenever they feel like it and suddenly you're stuck on a beach with zero assets. How much have you actually sunk into rent over 30 years?

I mean, seriously—paying that much interest to a big bank for three decades? If I knew that was coming, I would’ve packed my bags and moved out tonight. I'd sell the place just to get rid of the weight on my shoulders.

When I first bought this place, I had all these grand designs. I thought I could pivot, make some extra moves, and pay this thing off way ahead of schedule to dodge the massive interest. But, well, things didn't go according to plan, and now here I am, stuck in this mess.
By this summer, I'll finally know if my backup plan actually holds water or if it's dead in the water.
If it works... everything gets easier. If it doesn't? It's going to be impossible to deal with. And if that happens, I'm definitely pulling the trigger and selling...
I just need to survive this year financially, and then I'll make my move.

Moving out to the Midwest just isn't going to cut it for my career.
Look, I’ve got a permanent gig here that I actually enjoy. It’s solid, it’s stable, and the company is actually on an upward trajectory—so I’m holding out hope for some decent raises down the line, even if the paychecks are pretty thin right now. $1367.
Now, sure, the company does have branches out in the Rust Belt, so a transfer is technically on the table, but honestly? That would be a massive mistake. Business is significantly weaker in those regions, and frankly, the job security there is questionable at best.
It’s a struggle to find anything decent out there, and when you do, the wages are usually a joke compared to what I'm making here.

Robin Rodriguez5 said:That needs to be your first move, not your last resort. I don't know which city you're in, but if you snagged it at such a bargain, you could probably offload it today for roughly what you paid—maybe a little less—just to get that mortgage off your back and start fresh. Look, a condo isn't an "investment" in this scenario; it’s a noose around your neck. Now is definitely not the time to be daydreaming about leaving it to your kids.

If you wait 6 to 12 months, the property value might tank further while your debt stays just as high.
You made a bad financial call, and there is absolutely no reason to white-knuckle it just out of pride.

The place is in SD. It’s fully furnished, looks great. It’s only about a mile from the beach, and if I make the move, I honestly think I could probably sell it for more than the 1,050 sq ft value I originally paid.
I'm not ready to pull the trigger just yet.
My plan for this season is to try renting it out to tourists at a reasonable rate. I’ll be taking guests soon.

I mean, anything can happen, right? Maybe things will finally click and I'll get ahead. I'm an optimist by nature, so I'm putting my faith in the process and hoping for the best.
Summer is coming, and with it, a whole new set of opportunities.

Steven Rodriguez11 said:Hmm... So, looks like lowering the monthly payment isn't going to happen right now. That’s just where things stand. But hey, you can always give it another shot in a year or so, so there’s really nothing lost by waiting until then.
As for that moratorium option, I honestly don't think it's worth the headache. To even get that ball rolling, you end up having to pay the bank some sort of percentage fee, and if you've got that extra cash lying around, you might as well just put it toward your actual monthly payments instead...

Just listen to the advice I gave you earlier. It doesn't cost you a dime, and it'll definitely take some of the weight off your shoulders.
Just hang in there through the next few months; once this economic slump settles down, everything is bound to turn around for the better...

Take care!

Wait... a fee just to trigger a moratorium..!?
I went down to the Chase branch and asked them point-blank what all the extra costs would be to put my loan on moratorium,,,,,and I am positive they didn't mention anything like that..

Aside from the principal increasing by 3.5% and, obviously, the total interest going up—meaning the monthly payment jumps—they didn't say a single word about other fees, and I made sure to emphasize that I wanted the full rundown..

Maybe I'm looking at a different kind of moratorium altogether.. huh?

Kimberly Nguyen said:And why on earth couldn't we just do both?

I mean, look, you implement a six—or even a twelve—month moratorium while simultaneously extending the total repayment term... but if you do that, you’re essentially just breaking even at best.🤔

I actually went ahead and asked about that specific option...
And you know what the answer was? Sure, it's "possible," but you can't do it all at once...
Basically, you'd have to do the moratorium first—bump up the principal—and then *later* on, you could try to beg for an extension out to 35 years.

In that scenario, I’d be bleeding extra interest straight into the bank's pockets for ages. 😠
There is absolutely no way in hell I'm agreeing to that.

Brian Wilson7 said:I’m not entirely sure it’s a smart move for him to head back to the Midwest. There just isn't any work to be found here. I honestly think he'd be much better off down south. If he wants to make this work, he really needs to rent out a couple of rooms immediately to cover his mortgage. Then we'll see how things go.

I'm with you on every single point...👍
I've already started looking for tenants...

casualmoose14 said:Honestly, your best bet is to sell that condo and focus everything on paying down that loan. Trust me, the bank is NEVER going to work with you on this; they’ll squeeze you dry until you have nothing left. That one-year payment holiday will fly by before you even realize what hit you, too... and then you're looking at a thirty-five-year commitment. Yikes. Just sell the place, head back to the Midwest, and get a fresh start... believe me, it's much smarter than trying to play games with the bank!

I've still got enough fight left in me to keep swinging, so I'm going to push forward in the hope that something positive actually happens in the near future. I've got twelve decisive months ahead of me.

Most of you guys on this forum keep telling me to sell the apartment. Maybe it really is my only way out, but I'm just not ready to accept that reality yet..
Selling is definitely my absolute last resort. Before I go there, I am going to try everything else I can,
and in about 6 to 12 months, I'll know if I made it or not... but I'm not throwing in the towel just yet.

northerntiger said:Hey, you aren't losing everything, for crying out loud. 😕
At most, you're just getting rid of that heavy weight around your neck that's dragging you under.
Just picture this: no more crushing debt, and you get a totally clean slate starting right now.

Plus, you won't be chasing after money that isn't worth your health.

The real irony here? One of the main reasons... my health... is exactly why I decided to move out to California and buy a place.
Back when I was younger, I struggled with asthma constantly, so the climate out here is absolutely perfect for me.
But now? Between the stress and the sheer mental load, I'm basically wrecking my health on a daily basis... it just keeps getting worse.

I basically ignored those first two years of mortgage payments, and honestly, what was the point? I’ve barely even touched the $3333 principal—not even 2%.

Trust me, I know exactly how this works...
Even though I practically handed the bank about $30000 dollars over those two years alone! 😠
I find myself spiraling sometimes, wondering why I'm even doing this in the first place...
I grind, I push myself, I make sacrifices, I sacrifice my own damn health, and for what? For the chance to end up with absolutely nothing in the end. 😕

George Phillips said:Just keep in mind that if you extend from 30 to 35 years, you're looking at an extra $57 in total interest (on paper, obviously, since inflation over those 30 years will eat up a chunk of the actual value).
If the principal jumps by 3.5% on a 30-year term, the monthly payment climbs by $43, and total interest goes up by about $15333. If you pay off that higher principal over 35 years, the monthly payment stays right around the same (3800), but you end up paying about $67 more in total interest.
I ignored those first two years of payments—it's not like we've paid off more than $3333 of the principal anyway, barely even 2%😢.

When you're stuck between two evils, you just have to pick one... there's no other way forward.
I’ve already liquidated everything of value. Honestly, I’m riding a bicycle now and living more frugally than I ever thought possible. Selling my car finally cleared my overdraft, so I’m sitting at zero right now—but it’s a temporary zero, a fleeting moment of peace because the next installment is coming due, and then the one after that, and so on... it never stops.
What do you think I should do???

The weight of this is crushing me. The stress is constant; it's wrecking my health, I'm spiraling, I work, I save... I save, I sacrifice everything, yet I still find myself sinking deeper into the red. I just need a moment to breathe... to actually recover, mentally and physically.
My plan:
I'm thinking about going with option two. Suppose they grant me a 12-month moratorium during that period of the loan$0.00—that would give me enough room to catch my breath.
THE PLAN:
- Save aggressively like I have been to scrape together about $10000. (It would be a lifesaver to have that cushion for the upcoming payments)
- Rent the place out to tourists... hopefully, that brings in some decent cash if things go well..
- Take in some boarders until summer... I already posted an ad and prepped a room. That should bring in a little something.
- Once summer hits, there will be better opportunities to pick up extra shifts or side gigs for more cash.
- As a last resort, if nothing else works, I’ll have a year to move back to the Midwest to be near my parents and find a new job. I could rent the whole apartment to a young family and just cover the difference myself... say, the place goes for $833 + I chip in $1,000-$500... I could manage that until things stabilize.
- For the absolute endgame... I’ll sell the place. I picked it up at a steal for $1,050 per sq ft, and it's fully renovated.

One of these things has to work.

Gregory Williams7 said:Unfortunately, I find myself forced to agree with Richard Lewis16 on this point. It seems we have finally found common ground. 😁

I really, truly hope you guys are all wrong about this...

So, I just sat down with my banker, and they laid out two options on the table.

1) Stretching the loan term out to 35 years. This would drop my monthly payment by about $67.
Going from $1267 down to $3,600, which—let’s be honest—is still freaking massive.
2) A principal increase loan... I think that's the technical term they used...
Basically: a 6-month payment holiday where the monthly amount is $0.00.
But there's a 3.5% bump to the principal because the bank doesn't get their cut during that time.
Since my current principal is $549,000, Chase says that would mean a principal hike of roughly $6333.
The folks over at Chase told me this.
Naturally, because the principal goes up, my monthly payment will jump by maybe $100-$50 after the
payment holiday ends.

I actually pushed them to approve a 12-month deferment instead. They’re "reviewing" it, but they kept insisting that a 6-month pause is standard practice.

Honestly? Neither of these looks great.
I'm leaning toward option 2.
A lot can happen in 12 months... who knows, maybe interest rates will actually drop for once...

What do you all think?
Thanks.

Gregory Williams7 said:I simply want to express how truly disheartening this entire situation is to hear. You present yourself as a decent person who, through nothing more than a series of unfortunate investments and poor associations, has ended up completely destitute.

I realize this may be an uncomfortable thing to say, but if you are certain your partner possesses sufficient funds to provide everything that child requires—ensuring they are well-fed and well-provided for—there may be a legal avenue to petition for a reduction or cessation of child support if circumstances become dire enough. Navigating a modification through the US court system can drag on for years. Contrast that with a bank; if you miss payments on a mortgage or a loan, the warnings start immediately, and they will move to foreclose on your home before you know it.

It is merely a thought. I wish you luck.

Look, I don't care how much this is hitting my wallet... I’m going to keep paying every single cent of that alimony, on time, every time. Period. No excuses.
Look, let me be perfectly clear here—this money is strictly for my kid. It’s for my child. Not for some ex-girlfriend, you hear me? I know, I know, she's the one currently holding onto the funds, and that's exactly why this is such a headache. That's how I'm looking at it. It's about the future of my kid, plain and simple, regardless of who happens to have the checkbook right now.
Everything I do—every single thing—is just me grinding, fighting, working myself to the bone, and making sacrifices I never thought I’d have to make... and honestly? A huge part of that is all because of my kid. It's constant. It's relentless.
In maybe ten years... if I'm lucky enough to leave anything behind at all—I just hope I’m still around to see it happen, even if it’s just by the skin of my teeth.
I’ll find another way. I'm going to figure this out if it's the last thing I do.

Gregory Williams7 said:While Rohatinski serves as the Governor of the Federal Reserve, there is a 0% chance.

Interest rates have got to come down, and I mean fast... just fast... because honestly? This whole situation is becoming absolutely unbearable.

I’m just sitting here, tapping my foot, waiting on a response from Zaba...

In the meantime, I’ve started looking for some tenants.
The place is a decent size, about 750 square feet, two bedrooms—so I can definitely make that work.
Come summer, I might even try my luck renting it out to tourists...
But honestly? My biggest hope is seeing those interest rates finally take a dive. What are the actual odds of that happening anytime soon, say, by the end of this year?

Lawrence Wright7 said:I’ve gotta say, I am absolutely floored by the attitude this bank just showed me. I really went in there hoping—just praying, honestly—that they might show a shred of empathy or at least a little bit of good faith to work something out.
I laid everything out on the table: my pay stubs, which clearly prove my income has taken a massive hit compared to two years ago, plus the court order confirming I'm on the hook for $800 in monthly child support dating all the way back to early 2009. On top of that, they sent me a notice that they’re hiking the interest rate from 6.3% to 7.2%, which translates to $133 a much higher monthly payment for me...
So, I sat down and drafted a proposal. I suggested extending the term of the loan to stretch out those payments, which would help bring my monthly obligation down to something manageable. If they had just said yes, I would have signed on the dotted line immediately...
But here was their response:

"Unfortunately, we can't do anything about it... the loan amount is too high, sorry. You should try to find additional funds elsewhere.
It is possible to put the loan into a six-month moratorium."

That was it. That was the whole "conversation"...

I’m at my wit's end here. Does anyone have any suggestions? Any advice on what my next move should be?

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So, I went back into Zaba today; absolutely livid and shaken up by how dismissive the bank was being. I insisted on speaking directly with the branch manager (up until now, I’ve just been dealing with the mortgage department head)
And hey, I actually pulled it off... she took me straight into her office immediately.
We talked for about 20 minutes. She mostly just listened intently—probably because I made it very clear that if we didn't reach a solution, I’d be taking this story to the local news and escalating it all the way to the executive suite at Zaba. I laid it out plain: as a loyal client, I want to keep paying my loans on time, but with my income dropping and my expenses spiking, it's becoming physically impossible. I'm just asking for a little bit of flexibility and understanding from the bank to get through this rough patch while I get back on my feet......

She did promise that there might actually be something we can work out..

-Well, there's a glimmer of hope there. Fingers crossed it turns out positive......

I’ve gotta say, I am absolutely floored by the attitude this bank just showed me. I really went in there hoping—just praying, honestly—that they might show a shred of empathy or at least a little bit of good faith to work something out.
I laid everything out on the table: my pay stubs, which clearly prove my income has taken a massive hit compared to two years ago, plus the court order confirming I'm on the hook for $800 in monthly child support dating all the way back to early 2009. On top of that, they sent me a notice that they’re hiking the interest rate from 6.3% to 7.2%, which translates to $133 a much higher monthly payment for me...
So, I sat down and drafted a proposal. I suggested extending the term of the loan to stretch out those payments, which would help bring my monthly obligation down to something manageable. If they had just said yes, I would have signed on the dotted line immediately...
But here was their response:

"Unfortunately, we can't do anything about it... the loan amount is too high, sorry. You should try to find additional funds elsewhere.
It is possible to put the loan into a six-month moratorium."

That was it. That was the whole "conversation"...

I’m at my wit's end here. Does anyone have any suggestions? Any advice on what my next move should be?

I finally made it into Google....about time!
They’ve called me in for an interview in a few days.
The plan is to see if they'll approve an extension on my loan term...which should hopefully drop my monthly payments down a bit.

What kind of outcome should I be looking at here?? If they bump the total repayment period up to, say, 35 years altogether...
How much of a dent will that make in my monthly bill?

Maybe $200-$100 ???

Steven Rodriguez11 said:While you’re sitting there overthinking every little detail of what you want to do and how you're going to pull it off... just look at what you've already got working for you! I mean, seriously, take that 750-square-foot apartment of yours and make it count. Grab a couple of those standard steel beams—maybe two of them—and get moving on that. It’ll cut down on all those extra cutting costs later on, which is a huge win. And honestly, once things settle down a bit and you finally climb out of this absolute mess you're in, your head is going to feel so much clearer, and you'll be able to think straight again!

I'm actually digging this idea....

Rachel Doyle2 said:I still think your smartest move is to offload the condo. Even if you take a 10% hit on the price, it'll be easier than dealing with
the bank breathing down your neck. Once they come after you, forget about ever getting a loan again. Once you hit a bad credit score, it follows you forever. As for your ex, it doesn't look like she's helping you at all. When I suggested talking to her, I didn't mean to be harsh, but you have to realize that poor kid who isn't at fault will end up
losing their support too, because the bank is going to prioritize collecting what's owed to them first.
About rounding that $920—it'd be better to round down to $900 since that's closer than $950, haha... just kidding...
Just remember, if you sell when prices are low, you can always buy something else later from someone else in a bind at a discount, then sell it when the market recovers and get your money back...

good luck....

👍

Thanks..
1) First thing I'm doing is going to try and negotiate with the bank. Maybe they'll let me stretch out the term to lower those monthly payments...
2) I haven't actually looked into it yet, but let's be real—trying to sell property in this economy is an absolute nightmare. It's incredibly tough to move an apartment or a house right now.
3) This place... this apartment... it's more than just walls. It's my life's investment. Honestly, I am praying to God it doesn't all go south. It's stressful, sure, but at least I know exactly what I'm working for (mostly just paying interest, ha!)...
It would be nice to actually achieve something over these 30 years, to own something tangible, to leave something behind for my kid....
Selling is my absolute last resort. I will try every other avenue first, maybe even look into downsizing or swapping for a smaller place...