Content Originally posted in ActiveRain by-Harry D’Elia-(This is a Repost)

Fannie Mae announced today that they will make people who can make their payments and who do a strategic default will make them wait seven years before they are eligible for a Fannie Mae loan. It is estimated that there are 11 million homes acros America who are under water. That means the home owner owes more on the mortgage than the current market value of the home. We are facing the worst real estate bubble in the history of this county. There were predictions that we could have up to 21 million households upside down in their house in three years. I believe Fannie Mae is taking an early position to make people think twice before they perform a strategic default.

DEFINITION OF A STRATEGIC DEFAULT

This is when a home owner is walking away from their mortgage that they could pay but have decided not to because they owe more than their house is were worth at the current time. Home owners are not seeing any hope. So, their ideal suggestion is to give up and start all over.

Furthermore, Fannie Mae stated that they will pursue deficiency judgments in states that allow this by law. Please contact Harry D’Eliato learn more about your option in Arizona. Do you want to be on this list? Strategic defaults are continuing to rise because people have lost hope in the American Finance Machine. People on Wall Street continue to receive big bonuses at Christmas time and the American home owner is losing their home. Where is the balance? Who is monitoring Wall Street?

Fannie Mae will look at each hardship as it crosses it desk. A person with an acceptable hard ship or an approved short sale will only have to wait two years before obtaining a mortgage backed by Fannie Mae. Another option for home owners is to sign over their house in a “deed in lieu of foreclosure” to avoid a lengthy foreclosure process.

Statistics show that 7 out of 10 people who were foreclosed on their home did not seek a real estate professional for assistance.

**BE VERY CAREFUL if you are considering this. Ethically it is dead wrong, but I do understand how Wall Street has many homeowners across the nation in disarray and desperation due to the program(s) they developed out of sheer GREED thus creating the housing market bubble to burst.  BUT this may not be your best option or an option at all. PLEASE weigh all your options so that you have something to stand on!  Kimberly