The thought process is to take advantage of the hot housing market in some areas on the country with money that would otherwise be locked up in a 401(k) until retirement. Home prices are appreciating in some markets, so what’s wrong with this strategy?

Like most people, I have refinanced my mortgage to get a lower rate. My previous lender was Schwab Bank and my new mortgage is with Quicken Loans. Since then, I have been flooded with information enticing me to refinance again and at an even lower rate.

With interest rates low, the economy still sluggish, and many homeowners that need to sell but are underwater on their mortgage, investors are looking for way to earn returns in the market, or at least not be forced to give up their home.

Most homeowners have been solicited by their mortgage company or another financial institution with an offer to convert to biweekly mortgage payments instead of monthly payments.

I never thought it would happen. I finally sold my dad’s house. Dad passed away in November of 2010, but the house was vacant for several months while he moved in and out of hospitalizations and I was just too busy even to think about it.

An increasing number of homeowners owe more on their mortgage than their property is worth. If the borrower doesn’t want to continue making payments, he could explore executing a short sale of the property, or foreclosing on their loan.