The market is an extremely unreliable place. We have witnessed its decline for the past several years. If we are to consider the real estate market alone, it has faced a lot of criticism for being a highly unreliable marketplace. Fortunately, we have experienced nothing but growth in the real estate sector for over a decade now. Yet, there are times when we are questioned by this unresting thought that makes us wonder the value of our property in not only the present years but also the future. Nothing can add to your worries more than knowing that the property is yet to be fully paid for and that your house is still under a mortgage.

Such a situation where your house is worth less in the market than the amount that you paid for it when you first bought it, is a perfect explanation of an underwater mortgage. An underwater mortgage is, as the name suggests, a mortgage that has kept your house under the water, that is, under the expected value. It is necessary to understand why this is a problem because a property is the biggest security for anyone living not only in this country but anywhere in the world. Knowing that your biggest security is worth less than what you estimated it to be will certainly create doubts and thoughts of worry in your mind.

Problems with underwater mortgage

• You owe more than what your house is worth
  The biggest concern for any owner is not the fact that their house is of less value than it should be, it is that they now owe more to the issuer of the mortgage than what the house they are living in is worth. You biggest security is at stake.
• Splitting assets is difficult
  Having an underwater mortgage is even more difficult when you are going through a divorce or any other emergency matter that requires your money. In such a case, splitting of assets, your property, becomes a major problem as it is still underwater.

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Survival tips

• Refuse to give up
  The first survival tip is to determine that you will not give up. Do not stop paying for the mortgage. That is the only thing you can control right now. So, pay your dues religiously.
• Fight hard to win
  This is not a permanent situation. An ever increasing population with such less place to live is a sure sign that eventually the price of property will go up. Your hard work will pay off.
• Rent accommodation
  When you cannot afford to repay the loan, find a source of income. Rent out space in your house and reduce your stress.
• You are not alone
  There are many people going through the same thing that you are right now, so do not find yourself alone. This too shall pass.

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