Mortgage Forum

Mike

First off, sorry for the dual post - the last one ended up in the wrong forum... I currently have a home in AZ with both a first and second mortgage. I need to sell this house asap as I have had to relocate to another state and cannot afford to maintain these payments in addition to my new rent costs much longer. I have looked into renting the house out but cannot get enough in rent to cover the costs so that is not a viable option. With home prices down as low as they are and the market in my neighborhood the way it is, I would realistically be able to sell the home for enough to cover what I owe on the first but not what is owed on the second. What are my options? Is there any way to negotiate with the 2nd to convince them to release their lien on the house so I can sell it and make it into an unsecured loan instead? If so, what would be the best way to go about that to convince them? Are there any other good options? I have a good payment history with them (Citi Financial) and I have never missed or been late on a payment (yet) and don't want to simply foreclose on the debt if I don't have to. I make plenty of money to afford the payments on the 2nd as they are only about $250/month. It is when they are in combination with the $1300 mortgage payment that affordability becomes a serious problem. But if I don't work out something soon I am going to have to walk away from both which I really don't want to do. Does anyone have any ideas on what I can do to get out from under this lien so I can sell the house without having to default or foreclose but still keep making payments on the 2nd?