Going through forclosure, will it DQ me?

[vegas8921]

Im currently waiting for my background investigation results with the North Las Vegas Police. Now Las Vegas Metro also wants to call me in to do a background on me in a couple of weeks. When I turned in all my information three weeks ago to the North Las Vegas PD background investigator, all my bills where current with a good credit score. I have not been late on any bills for over 5 years with no repos, bank rupt or any collections on record. I can not make this months mortgage and my wife and I have talked about walking away from our property because we are so much upsidedown in our mortgage to home value. My wife has been unable to find a job 4 two months. If I allow my home to forclose over the next few months but stay current on all my other bills, will these agencies find out and how will they look at me as a recruit? Im in so much agony over this because we can't afford this home on one income and must walk away while I'm in the middle of getting the career of my dreams. Any suggestions?:confused:

[Joeyd6]

1) Call you bank right now. Forget calling. Go there. Speak one-on-one with the manager. Explain the deal and ask how they can help you. Can you defer a payment or two? You can do it on cars and I am sure they can do it on mortgages. Ask them for help as they don't want to foreclose on you. Be proactive and not reactive.

2) Yes they will find out. It may or may not be an issue. But there is a BIG difference with being proactive on a issue and being reactive. Be proactive on the mortgage issue and it may help a lot.

30 Its Vegas baby! Tell the wife to stop being picky. McDonalds flipping burgers at $6.55 an hour will bring in $733 after taxes a month. That is much more than you have now coming in ($0). Those hotels on the strip have to be hiring!!! Sometimes you take jobs doing thinks you don't like (housekeeping, gas station, waiting tables, etc....) Those hotels don't pay minimium wage!!! See lasvegasjobs.com

[vegas8921]

Lets say I have no choice and the bank is not willing to deffer any payments. This will obviously hurt my credit to allow my home to forclose. My house has gone down 120k since I bought it in 2006. It makes no sence to hold on to it not to mention I can't afford the payment anymore. Over the next 6 years I will have to pay 140k just to pay the mortgage on a home the will still be only worth 180k and I will still own 210k. Does anyone think that these police agencies understand these type of situations that recruits may be in? Should I contact my background investigator and let him know about my situation? Should I let Las Vegas Metro know immediately before they do my background. Will being up front about going into forclosure help or should I put my whole next pay check at risk on black jack to pay the mortgage just so I can stay away from forclosure? This may sound dumb but I'm running out of options. Fuge!

[rohardi]

I was a loan officer and sold mortgages for 4 years. It will take about 6+ months of non payment for it to show as a foreclosure on your credit report. It will show up as late with a past due ballance though. If you do let them take your house, where will you live? Will you have the stability to concentrate on the academy? I'm sure that will be more of an issue for a PD.

[vegas8921]

My plan would be to save all the money that Im not paying the mortgage with and go back to renting which would cut my current living expences by over $1000 a month. So I could save 10k or more by the time I leave the house for the bank to take back. That 10k would be for moving expenses into a rental and whats left for savings. I would then be on credit repare mode while in the academy and over the next 3-5 years before purchasing a home again. I would do better in the academy knowing I have plenty of money to cover my monthly expenses then doing what Im doing now living pay check to pay check stressing out! What do you think of this plan being a formal loan officer? And are you currently an officer your self? is this an wise move in the eyes of these police agencies or will they see me as DQ material or irresponsible? Will my none payment show on my credit report next month? From what you said, it wont for six months. can you clarify?

[rohardi]

It will show the first month you are late. It will show you as 30 days late the first month, 60 days late the second month and so on, until it is in foreclosure. I'm not on the job yet just on some hireling list so I cant say how a PD will look at it. But what I do know is that the Housing crunch is the number one story on the news just about every night. There are no two ways about it my friend, Times are tough right now so hopefully your PD will understand.

As far as re building your credit, a foreclosure will stay on your credit report for at least 7 years and the bank you owe your mortgage to can sue you in civil court if there is a balance left on your loan once they auction off your house and get a judgment against you. If there is ANYTHING you can do to avoid this situation DO IT!!!! The way the housing market is, your mortgage company would much rather work with you than take your house and be stuck with it themselves.

[phantasm]

Being late or behind on bills shows you as a possible corruption prone officer as you have money problems. It also lowers your credit score and you'll have that on your credit report for the next 7 years is it? Contact the bank about refinancing, whatever, or buying a smaller/cheaper house, and selling this room so you're not upside down anymore, or even just selling completely and getting a personal loan to pay the difference. It will severely affect you, and will be discovered.

[vegas8921]

Thank you for your imput. Im going to let the house forclose and cross my fingers that I make it into the academy. Its just stupid to try and hold onto this house. I know Im not the only one in this position. I just hope the PD will understand that I will be much better for this job without the stress I'm going through now. I might try to have my payment deffered by talking to my mortgage co. and prolong this forclosure process as much as possible till I get through backgrounds then I will let it go into forclosure. Thanks again for all of your responses.

[rohardi]

Good luck with everything. This situation doesn't make you a bad person, Bad things can happen to good people. I just think you should contact the departmend doing your BI first to see what their thoughts are on this. they will find out in the long run. Being up front is going to be your best bet. Let us know how this works out for you.

[Roger Dat]

So let me get this straight..... YOU made an educated deicision to buy this house and just because your realizing its not economically sound investment since the housing market has fallen your just going to abandon ship??? Why in gods name would you not take Joeys advice and talk to the bank about refinancing or missing one or two payments.

Why would you not try to makle this work or be proactive about this? In my estimation this . shows you have an incredible lack of responsibility. You have faced a hurdle in your life and instead of trying to deal with it you would rather just bail on it.

What are you going to do when you face a tough decision on the street and its getting rough? Going to place your badge and gun on the ground and walk away? KEEP YOUR FINGERS CROSSED AND HOPE FOR THE BEST? I think not.

Your making a terrible decision, have been told so by verified officers and yet you decide to do it anyway. Im not on our hiring board but I wouldnt hire you when I found this out through a background.

[sbrad]

I agree 100% with Roger Dat. If you can't be bothered to call your mortgage company then it's clear to ME (as an internet observer who doesn't even know you) that when the going gets tough you tuck your tail and haul ***.

YOU are the reason the housing market is in the p****ter. You are too scared to even call your mortgage company, where you would likely find out that they could help you. But you're not interested. You've already made up your mind. I won't even mention the possibility of getting them to agree to a short sale.

I hope you don't get hired. Not because you're facing financial trouble, but because you are too scared to face your problems like a man.

[retdetsgt]

I wouldn't hire you and I doubt they will either. Even if it takes 6 months to foreclose, you'll still be on probation and barely out of the academy.

You signed a contract, got in over your head and now you're trying to bail out of it. I'd be willing to be that you have a bit of credit card debt too, even if you haven't been late. If not, you definitely went over your head when you bought this house.

My best advice would be to go to a credit counselor and see if they can help you. If you let this house go into foreclosure, you can probably kiss off ever being a cop.

[BaseballFan]

Although I'm not LEO nor have I worked in the banking industry, I can vouch for doing what you can to mainatin your credit history as well as your home. Regardless of the state of the current market as I know Vegas has been one of the hardest hit, it is in your and the mortgage comp./bank's best interest to maintain you as a current customer and fall into the bad debt/sunk cost catagory. I agree with everyone else as far as doing what you can to re-finance into a fixed mortgage (if you have an ARM).

What happens 5 years from now when the housing market improves and you and your wife are stuck paying inflated rental prices in an improving market b/c a lender won't give you a loan?

Just my opinion and I'm not telling you what to do, but to me the positives of trying to maintain your house outweigh the negatives as far as paying for an overvalued home.

[BaseballFan]

I wouldn't hire you and I doubt they will either. Even if it takes 6 months to foreclose, you'll still be on probation and barely out of the academy.

You signed a contract, got in over your head and now you're trying to bail out of it. I'd be willing to be that you have a bit of credit card debt too, even if you haven't been late. If not, you definitely went over your head when you bought this house.

My best advice would be to go to a credit counselor and see if they can help you. If you let this house go into foreclosure, you can probably kiss off ever being a cop.

Although I agree with your overall premise, I would dispute going with most credit counselors as they are in the profit business rather than civil services. In the county I live in (Lake Cty., IL), they do have non-profit county sponsored housing authorities, which I'm sure Las Vegas has as well and would be worth investigating as well as the lender.

[retdetsgt]

Although I agree with your overall premise, I would dispute going with most credit counselors as they are in the profit business rather than civil services.

Even if they're in the profit business, they could still help him. Frankly, having worked for the government most of my adult life, I have more faith in business than I do in government for providing effecient service to people.

A for profit employment agency is going to charge you a lot of money, but they will work a lot harder to find you a good job than the state employment agency.