San Diego Real Estate Lawyer
According to the S&P/Case-Shiller Home Price Index, San Diego home prices rose .4% in January 2010 and have risen 5.9% over the last year.
Finally some good news in the San Diego Real Estate Market. Or is it?
First, according to the Union Tribune, some experts are expecting home prices to turn downward in the coming months after government incentives that have helped up sales end.
Second, an increase in home prices will not help the people of San Diego who cannot pay their mortgages suddenly be able to do so.
Most importantly, an increase in home prices may take away a unique advantage available to distressed homeowners that have more than one mortgage.
As we have discussed on our San Diego Bankruptcy Lawyer Blog, the current financial situation gives some home owners the ability to strip away a San Diego second mortgage through bankruptcy. This can only happen, however, if the home owner is upside down on their first mortgage. Obviously as home prices rise, the likelihood increases that the homeowner will no longer be upside down. In fact, if the value of the home is just $.01 greater than the first mortgage, then the second cannot be stripped.
So what does this all mean? Experts disagree whether or not the trend will continue but if it does, many people will not be able to take advantage a wonderful opportunity they have to lower their monthly house payments through Bankruptcy.
The Attorneys at the Law Office of Harold D. Thompson are San Diego Real Estate Lawyers dedicated to helping with all of your real estate issues – including helping you save your home through bankruptcy. Call us TODAY at 619.615.0767 or visit one of our websites at www.ThompsonLawSD.com orhttp://www.sandiegobankruptcylawyerblog.com/.
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