Investment Property Defense

Investment Property Defense

The threat of foreclosure of a second home or investment property brings different priorities to light than does the foreclosure of one’s primary residence. Instead of worrying about where to live and how to stay in the home as long as possible, property owners whose vacation homes or investment properties are at risk are more likely to be concerned about financial consequences and the effects on credit and taxes.

Investments Gone Bad?

Did you take financial risks in order to make what you believed would be a solid investment in real estate — perhaps a house or apartment complex that you planned to rent out over time and then sell at a profit? Previously, real estate was considered one of the best investments available, as prices steadily rose.

Upside Down Mortgage and Property Values

Only very recently have real estate values plummeted far worse than what the market usually triggers. Did you take out a high-interest or adjustable rate mortgage (ARM) with high hopes of making money on your real estate investment? You did not forecast the drop in real estate prices that we have seen in the past few years. Now you are left holding a mortgage that you cannot pay back in the current financial climate.