Stretegic Default......

[cherrqell]

Good move or not? Anyone get snagged by the housing meltdown? We are seriously underwater. I just got laid off, and we are relocating. The house lost 40% of its value. Were probably just gonna walk away. Good move, or should we reconsider? I mean we can afford the payment, but why throw good money after bad.

I know, credit score hit, possible tax liability, being sued. we are in a non-recourse state, but there are risks.

Your thoughts?

[rsot]

Wow that is rough to hear. I hate walking away from anything and real estate has potential. I would reconsider - if you can afford, keep and hope for the future. But I speak from my own viewpoint - other folx will chime in later.

All the best though.

[aking]

Sorry to hear that. Maybe try putting your house up for rent to someone that may be looking for a home but may not have the means or credit to get into a mortgage??

[slapped]

DO NOT Walk away,,I Do Not Know What your Exact situation is but there are MANY Possibilities Depending on your Situation,,Are you still Paying the Mortgage?,,,
Are you Behind?,,,How Long (In Months)?,,,have the Forclosure Procedings Begun Yet?,,

Lenders are in a lot of trouble with all of these Bad Mortgages and the LAST thing that they wany is ANOTHER House to Forclose/Sell,,,

Depending on you Specific Situation you CAN Sit Down With the Lender and Renegotiate, your ENTIRE Loan,,,you can even get banks to SUBSTANTIALLY Cut the Principle,,Never Mind interest and Penalities which are almost a Given in MOST cases,,,It all depends on the Specifics of your Mortgage/Home/Area,ect,ect,,

[rsot]

Also true on what Slapped said about renegotiating - forgot about that option - renting is also doable but depends on quality of neighborhood for sure vs. type of potential renters

[HurricaneHuntr]

my gf in similar situation except she is just tired of everything going wrong with the house since its a very old house that's been falling apart. She is going to walk away and take the house.I have insane credit, so i guess we can rent a house somewhere