Real estate forum held in VB

Virginia Beach, VA - Homeowners on the brink of losing the American Dream, got some advice from industry experts Sunday at the Virginia Beach Center for Higher Education.

The office of Democratic Congressman Glenn Nye gathered a panel of real estate insiders for a town hall-style forum.

The event was held Sunday and was moderated by WAVY.com's Eric Harryman.

"I get a lot of phone calls saying, 'I'm in a tough situation with my house, I thought I was doing the right thing,'" said Congressman Nye.

The first question directed to the panel of experts was from Mary McClellan. McClellan's bank notified her a few weeks ago that her property was under foreclosure.

"I have done everything they have asked me. I have documentation of everything I have done. I am desperate .. they are doing to sell my house on May sixth," pleaded McClellan.

Housing and Financial Counselor John Allen offered some advice to McClellan and told her to find someone who can cut through the red tape of the collections department and get in touch with the loss mitigation department as soon as possible.

Another Virginia Beach homeowner told the panel he had taken out a second mortgage to invest some cash for retirement and not long after, his home value dropped almost $200,000.

Now he's left with a house up for short sale and his savings money is running out.

"Why don't you just quit paying and get it foreclosed on? Well, it's American pride, I don't want to do it. I feel for this grandma, I'm a grandfather, June first I'm supposed to retire, I can't retire," said the homeowner.

Hampton Roads Realtor Charlee Gowin says a short sale can only move forward when the bank has an offer on the table.

"You are not going to make any money on the house anyway, you owe more than it's worth so --it almost doesn't even matter to you what you sell it for. I would ask your realtor to get an offer, any offer," Gowin said.

One thing that seemed to come up over and over in the forum was who to contact first when you realize you're in over your head. The answer is: call your lender and do it before you miss a payment.