We worked out our monthly expenses....in the red. (credit card, debts, pay off)

[oz in SC]

Originally Posted by wanneroo

Credit scores? That would be my last worry right now. They only come in handy really accessing new lines of credit and future debt. I'd worry more about keeping the mortgage current cause you need a roof over your head.

Well there is the rub,the house is our greatest single expense and we do not want to keep it...

I'd also look at various household goods or toys like watercraft, guns, boats, bikes, etc. that can be sold off for cash on ebay or in classified ads.

No watercraft.
No bikes.
No boats.
Selling guns.

I'd also look at getting a 2nd job doing something.

Second jobs are difficult to come by in SC in general and our little town in particular.This town has been hit HARD by the housing collapse.

Essentially you are living beyond your means which has to stop.

Yes we are,we are in essence slowly drowning to maintain ourselves here,one solution is to move to our incomplete but liveable place in NC where our mortgage payment is less than $300/month.However we have this house to contend with.

[oz in SC]

Originally Posted by TomMoser

If you have a lot of unsecured debt, but would be able to afford your mortgage without it, you might consider bankruptcy.

We do have a lot....WAY too much but little to do about it now.

I have considered it...not sure how to move ahead right now.

[GJBenn85]

Regarding second jobs, have you look outside of the immediate Beaufort area and into Bluffton and Hilton Head?

[oz in SC]

Originally Posted by GJBenn85

Regarding second jobs, have you look outside of the immediate Beaufort area and into Bluffton and Hilton Head?

Bluffton is roughly a 100 mile roundtrip from where we live.This would be over $12 a day in fuel.
HHI even further.

I had a second job that paid pretty well but unfortunately the amount of available work simply vanished with the economic downturn...people simply do not have money to spend being chauffeured around anymore.

[GJBenn85]

Your profile shows Beaufort...where exactly are you?

[oz in SC]

Originally Posted by GJBenn85

Your profile shows Beaufort...where exactly are you?

Out towards the beach....Saint Helena Island.

[HappyTexan]

Go see a bankruptcy lawyer and have a heart to heart talk with him.

My sister was drowing in debt a few years ago and did declare bankruptcy. She was renting but had a car with payments. She kept the car and they worked out a deal for payments. The rest of her debt (CC's) was written off.

She's been able to rebuild her credit the past few years and has a CC but is now keeping it for emergencies. She was also able to get preapproved for a mortgage although the rate was a bit higher than for someone with good credit and had to have at least 10% down.

So she ended up ok..a bit restricted but not too bad off. Bankruptcy is a chance to start over for some.

[oz in SC]

I have been thinking about it....funnily enough part of the reason we are in this situation is because the company my wife worked for went belly up.

The owners(friends as well) declared bankruptcy and have been much happier.

Poorer but happier.

[AnthonyB]

If you want to offload the house and are underwater what about a short sale? Clear you of the big headache and not as bad a credit hit.

[oz in SC]

Originally Posted by AnthonyB

If you want to offload the house and are underwater what about a short sale? Clear you of the big headache and not as bad a credit hit.

Already have the house listed for $30,000 less than we owe....actually had a few people take a look at it...

We are also looking at a deed in lieu of but that is doubtful as we have two mortgages and one will get shorted.