DH just got laid off =( UPDATE!

[FoxintheSnow]

This has got to be the worst timing possible. We were just talking last week about how we regret buying a house earlier this year because it's been so unaffordable. We were barely scraping by with his salary.Then this morning the vice president came in and said "this division is being shut down. clean out your desks and leave". People who have been there for 20 years were told this. Their jobs are being outsourced to India.

So now we have a house we could barely afford, no income, hardly any job prospects in this town and we are in debt with student loans and credit cards. I know welcome to the club right? This totally sucks. I don't what we're going to do. Even if dh gets another job, it's not going to pay what he was making and we won't be able to pay our mortgage. If we try to sell our house and somehow manage to find a buyer we won't be able to afford the closing costs associated with selling a house.

Also now we have no health insurance and no way to pay cobra. Who can even afford that stuff?

I just feel so hopeless right now.:

[RiverSky]

I'm sorry for your bad luck. What a tragedy that so many people have let go in a small town.

To sell your house, you won't need to pay any closing costs, that is the responsibility of the buyer (the cost of getting their mortage).

Meanwhile, know that chances are you will be able to live in your house for 1-2 years even if you don't pay your mortgage, before it will foreclose. If you two manage another job(s) and want to modify your mortgage, you might well be able to do that, too. There is a lot of lender-specific and general information about that sort of thing at loansafe.org, in the forum especially.

We have had similar trying times in the past and the weird thing is that though we were devastated at the time, in hindsight, those life changes ended up being great things for us and much better things came along afterwards (though they sometimes took 6-12 months to materialize). Hopefully, you will one day decide that this is what has happened for you, too.

[dancebaraka]

I'm so sorry.

Did the company give anything to the workers? Is there any unemployment available? That would give you a little time to catch your breath and make a plan.

[FoxintheSnow]

All he got was 2 weeks severence. Which is not much but better than nothing.

He applied for unemployment today. It's barely anything in this state (FL) compared to our expenses, but again better than nothing right?

If we sell the home by owner, we will still have to pay the buyer's agent's commission though right? Aren't there closing costs associated with the title and whatnot?


Riversky-it's not a small town there are just no jobs in his industry here. Mostly jobs in tourism and healthcare it seems.

[Viola]

I'm so sorry. (

I think it depends on what you can get for your house. If you owe a lot on it, selling it won't help you because you may actually have to have cash to close. If you have a lot of equity in it, then it might be worth it.

[FoxintheSnow]

We don't have much equity in it. Maybe like 10k? This is the first house we've ever owned so Im not sure how it all works.

[sunflower.mama]

Originally Posted by RiverSky

To sell your house, you won't need to pay any closing costs, that is the responsibility of the buyer (the cost of getting their mortage).

I think she's worried about real estate agent costs. Even if they sell it themselves, they'd have to pay buyer's agent.

[Norasmomma]

I'd call you mortgage company now, and see if there is anyway for you to qualify for a modification asap. I got one just recently and it lowered my payment by $140, that was just what my company offered in general. I still am in the application mode of the gov modification paperwork, but for now lowering our payment even by 140 is helpful.

I'd also be contacting all state services, WIC, FS, Dshs and such to get on a list now. The kids probably could qualify for some kind of state children's health insurance(at least in my state).

Good luck that is tough.

[busymama77]

I'm so sorry, mama. I do hope things become better for you and your family.

[obiandelismom]

I'm sorry - I know you must be so stressed out and scared right now.

One thing on the COBRA, though - our payment (my DH got laid off a few months ago) would have been $1200/month BUT we qualified for a reduction through the stimulus plan - now we're only paying $400, which is about what we were paying before. The form you have to fill out is called the ARRA, and the HR dept should send it to you with the COBRA paperwork.

Good luck with everything!

[LeighB]

I'm so sorry! We have been in that situation and are currently in it for the second time this year. It is hard, stressful and really sucks.
You should be able to put your student loans into deferment (or whatever it's called).
Contact WIC, and go ahead and get the paper work filled out for assistance. Cancel things that are not necessities- cable, netflix, etc. Also, even though you don't need it, find out where you can get emergency help just in case it were to get that bad. We are not in that situation yet, but I sleep better at night knowing that there are resources out there.
Take care! Pm me if you have any questions/concerns, etc. We've been living on very little for quite some time now.
Good luck!

[New]

Yikes!

[EcoFriendlyMommy]

You should ask your mortgage company and ask for a forebearance. where they take at least one month's payment and tack to the end of your mortgage to give you a little breathing room. This happened to me about ten years ago and it gave me some breathing room not having to make a payment for that month.

Good luck!

[FoxintheSnow]

UPDATE:

About a month after dh got laid off he found some contract (hourly) work in his field. As of yesterday he is a permanent employee with the company making $15k more than he did at the job he was previously laid off at. So things did work out for the better!!

[sweetjasmine]

Yay, glad to hear that!!! Are y'all still in your house?

[FoxintheSnow]

Yes we got to keep our house!

[_ktg_]

WooHoo!! Glad to hear everything worked out for you!!

[Chicky2]

Yay! That's fantastic!!

[Smithie]

[kittywitty]

Originally Posted by sunflower.mama

I think she's worried about real estate agent costs. Even if they sell it themselves, they'd have to pay buyer's agent.

No you don't. We bought FSBO and paid our own buyer costs. Just let it be known up front you do not pay buyer agent's commission.

s OP. My dh also just lost his job after we bought a house. But on the job! Sounds like a fantastic turn of events!!!