When I purchased my lakefront townhouse in the planned community of Reston, Virginia in March 2005 for $750,000, it seemed like a really good idea at the time.
I’m now one of “those people” you read and hear about every day in the news:
How did I get myself into this predicament and what does it mean to me as an athlete?
Back in early 2005 when I began looking to buy a home, home values had been increasing in double digit percentages each year for prior years. There was very little inventory in Reston, VA for sale at the time. As soon as a house came on the market, my real estate agent would give me a call and we would dash over to the house to see it. When we arrived, there were often two or three other agents showing the house to their clients. I put offers on three houses and was outbid on all of them well above listing price.
The housing market was crazy and irrational.
Since I was a little kid, I have always wanted to live on a lake. I grew up water skiing and boating when I visited my dad during the summers while growing up.
When I saw the listing for 11032 Thrush Ridge Road in Reston, I knew this was the house for me. The townhouse sat on Lake Audubon and the entire inside, much bigger than it appeared from the outside since it was built on a hill, had been recently remodeled with limestone kitchen counter tops, custom kitchen paneling and either hardwood or marble floors throughout the house. I found a mortgage company who approved me for loan; I made an offer and my offer was accepted for the listing price. I considered myself lucky.
My plan was to hold onto to the townhouse for 2 years, sell it at profit in the rising market then pocket the money and find another place. In the meantime, my income would continue to grow at my job at Capital One. Even when I left Capital One the following year to start my own company, EnduranceWorks, LLC, I believed that my income although small at first would grow astronomically.
Things didn’t quite work out that way.
While my business is doing well, it does not support a $3,600 mortgage payment on top of other living expenses. On the advice of a credit counselor, I am currently a few months delinquent on my mortgage payment. I’m waiting on National City Mortgage for a decision at to whether they’ll help me by restructuring my loan to lower my principle and my interest rate so that I can afford the mortgage under my current income level. In the meantime, I’ve told my renters that I can’t wait any longer and need to attempt a short sale to try to prevent going to foreclosure in case my mortgage company decides to do nothing. I’ve now lost my renters. My previously perfect credit score is also dropping.
I’m wondering where all the Federal money that has been earmarked to help homeowners like me has gone?
I feel a tremendous amount of shame about my townhouse and it’s taken me this long to be able to write about it. The situation (which I admittedly created) brings me a tremendous of anxiety, which has spilled over into all other areas of my life. When I think about my house, it brings me down and I feel sad. I have trouble sleeping at night as I run through various scenarios in my head. I have trouble finding the motivation and focus that I need to train as an athlete, and when I do exercise, the house stress plus the stress of a lingering injury (my hip and hamstring) piles even more stress on top of exercise stress, which makes recovery much more difficult.
Although I am constantly reminded by friends and the media that many other people are struggling in similar situations, I feel little comfort.
I have finally come to accept my situation. Realistically, I may not be able to perform at a high level as an athlete this year as I resolve this mess that I have created for myself.
It is what it is.
Continued in Foreclosure Looming: Managing the Stress
Live life richly and boldly!
David
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David B. Glover
Author of Full Time and Sub-Nine
© 2009 David B. Glover
Whether you're training to win a triathlon, training to finish or just need inspiration from my life journey as a cancer survivor, Navy officer and sub-nine hour Ironman triathlete, my book will inspire you to chase your dreams and live life richly and boldly.
[...] Buying a $750K Townhouse: It Seemed Like a Good Idea at the Time … [...]
[...] On Tuesday, I received a notice from my mortgage company’s attorney saying that the mortgage company is moving forward with foreclosure on my townhouse in Reston. There is still a chance that my mortgage company will modify my loan as I requested back in February, but the decision is still pending. According to the attorney I spoke with, the mortgage company has up until the day of foreclosure to make a decision. Assuming the mortgage company decides to do nothing, I have approximately 1 month until actual foreclosure then another month before eviction. To read more background my townhouse, please see my earlier post: Buying a $750K Townhouse: It Seemed Like a Good Idea at the Time. [...]
[...] Buying a $750K Townhouse: It Seemed Like a Good Idea at the Time …When I purchased my lakefront townhouse in the planned community of Reston, Virginia in March 2005 for $750000, it seemed like a really good idea at the. … Back in early 2005 when I began looking to buy a home, home values had been increasing in double digit percentages each year for prior years. There was very little inventory in Reston, VA for sale at the time. As soon as a house came on the market, my real estate agent would give me a call and we would dash over to … read more… [...]