Hi Everyone,
I need some help and advice. I am 38 years old, married with 2 kids, work in medical sales and own 2 rental properties: house in Vegas & condo in FL. I'm in a big, huge credit card mess due to the Real Estate Crash.
I was trying to make money in real estate like the rest of us for my family. I was hoping to cash in my chips (equity) and buy my own property to live in. Unfortunately, the market collapsed in both LV & FL and I lost all my equity and over $50,000.
Now I'm stuck with 2 properties that are worth peanuts & I' ve been trying to sell them as a short sale for 6 -12 months.
One of the problems is that I was using cash advance to pay for the negative equity on both properties -hoping I can sell these properties fast enough, retain my decent credit (600 - 650) and hope this Hurricane F5 Storm in real estate would pass by - but I've realized this hurricane will continue for at least another 18 months.
I now owe approximately $100,000 in credit cards and I'm completely broke. I pay my credit cards on time but the rates are automatically changing from 7- 29%. All my money is going into credit cards & living expenses. I've been considering Bankruptcy (Chapter 7) or Debt Settlement (negotiate interest). My lawyer says I could probably qualify for Chapter 7.
I don't know what to do? I know this is crazy, but I have the confidence I can continue paying my credit cards until their paid off but it will take years & sacrifice. BK & Debt Settlement have their advantages. I also know the value & the "power" of having good credit and I am becoming familiar with the ramifications of having a bankruptcy also.
PS- Looking back now, I wish I would have let the 2 properties go into foreclosure and I would have saved my money, avoided high credit card debt and avoided the possibility of bankruptcy.
I now have to think of the future, my kids, saving money, future employment in medical sales /pharmaceutical sales, background checks and buying a house. Please help me! Give me your
thoughts, advice, suggestions & experiences regarding Bankruptcy or Debt Management?
Thank you- I really appreciate it everyone. I have alot to consider.