Hard Money Trap

[Joel Fraser]

We purchased a home to rehab last year using a hard money lender. They sold the loan to Ameribank. We completed the house renovations and listed the house just before the mortgage brouhaha. The house didn't sell and we've held on to it for a year. We decided that we would sell our main home, pay off all debts except our car payments and refinance the rehab into a 30 year mortgage. Easier said than done. Our main home has sold and will close 6/16 but now Ameribank has called the loan (due 6/23/08). We tried working with Ameribank to no avail. Our main home was with Countrywide but even they won't help as we are behind on the hard money loan payments. We just want to get a conventional mortgage and not be out on the street. Keeping our main home is not an option now. Any advice?