Mortgage Renegotiation

[lumberjim]

Originally Posted by classicman

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Wow - thats a situation that isn't going to be fixed no matter how much money you throw at it.

Any thoughts on the idea of refinancing these types of mortgages at something closer to the current value of the home? IS that a feasible option? Logistically or financially? Would the lenders have to wipe the monetary differential off their balance sheet? Would that amount just vanish?

if you're asking whether it makes sense for lenders to write off money owed because the collateral is no longer worth its initial value, then no.. that won't happen....and it doesn't make any sense. would you allow them to increase your debt if the place appreciated?