2nd Mortgage Flow

House has $ 16,000 of negative equity on the mortgage before we get started. Where that leaves our second mortgage that is not common due to loss of jobs? Far in the negative sense --- not fair. A subordinated loan is the second first. Regardless of the reason is not common, is, and will affect your credit. If you exclude that, then the creditor can do something first. Go to HUD approved credit counselor to discuss options. Talk to your lender, loan modification, forbearance of the loan, and to help the new owners of the Obama program. Continue to call and talk to more than one person to the creditor. We do not have negative equity in a single loan - to determine negative equity, mortgage add 1 and 2 together and then subtract the value of your home - which is the negative net worth.