Dick & Jane get married. Dick and Jane are dinks (dual income, no kids). Dick and Jane have great jobs and decide to make an investment in a home. Why not, right? After all, when you are paying rent you are just building up someone else's equity...
Dick & Jane are smart shoppers. They hire a real estate agent who specializes in helping buyers. They find the perfect home. They put down the minimum down payment, close in 45 days, and start moving in. The furniture store gave Dick & Jane a $10,000 credit line with no payments for 1 year. They used every penny of the $10,000 credit line decorating their new beautiful home.
Life is great.
Dick & Jane decide to start a family. One year later Dick & Jane are proud parents. Jane decides not to return to her previous job so she can stay home with the little one.
Life is still perfect.
While bragging on his new baby to his boss Dick learns that the company is "down-sizing" and he no longer has a job.
Dick is unemployed. Jane is unemployed. The mortgage is due....and the $10,000 line of credit from the furniture store is due...and the utilities...and the car payments...and the car insurance...Oh, and that new baby - it needs diapers and formula.
What now? Any ideas? Tune in tomorrow for Chapter 2.
Been there. Not a very good place to be. I wish someone could have helped me understand how to deal with the bank to keep my home or at least explain my options and advise me on how to protect my credit.
ReplyDeleteUnfortunately there are alot of "dick and jane's" out there right now. There are options...most people just don't know what they are.
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