Walk away3 of 10She could walk away.Huss could stop paying the mortgage and condo dues and move out. The condo would go into foreclosure and her credit record would take a huge hit."I don't recommend it under any circumstances," Garfinkel says. "It's absolutely a total disaster. To the extent that you can afford foreclosure and bankruptcy, and preserve your credit and live to see another day, I think it's worth doing that."Drewes concurs. In fact, he doesn't even mention walking away until asked. He says that if Huss allows the unit to go into foreclosure, the lender would have the option of suing her to collect the difference between what she owed and what the condo sold for at auction. She also could be liable for the lender's legal expenses. The condo association could sue her for any unpaid dues. Related Articles:Loan-to-value calculatorNew FHA condo rulesCheck HOA before buying condoRefinance underwater mortgageRelated Links:Are you eligible for mortgage help?Will assumable mortgage solve crisis?Lapse may prompt foreclosureHow to navigate a short sale advertisement
She could walk away.
Huss could stop paying the mortgage and condo dues and move out. The condo would go into foreclosure and her credit record would take a huge hit.
"I don't recommend it under any circumstances," Garfinkel says. "It's absolutely a total disaster. To the extent that you can afford foreclosure and bankruptcy, and preserve your credit and live to see another day, I think it's worth doing that."
Drewes concurs. In fact, he doesn't even mention walking away until asked. He says that if Huss allows the unit to go into foreclosure, the lender would have the option of suing her to collect the difference between what she owed and what the condo sold for at auction. She also could be liable for the lender's legal expenses. The condo association could sue her for any unpaid dues.
Bankrate wants to hear from you and encourages thoughtful and constructive comments. We ask that you stay focused on the story topic, respect other people's opinions, and avoid profanity, offensive statements, illegal contents and advertisement posts. Comments are not reviewed before they are posted. Bankrate reserves the right (but is not obligated) to edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.
By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.
Feeling lost in the mortgage wilderness?