DJNinSD: Like I and others have said, I strongly recommend you speak with an attorney that specializes in real estate. I have heard of attorney’s advocating very strongly for their clients to get a short sale approved.An attorney can also look through your documents to make sure that your loan in nonrecourse.

There was a time when it made sense to buy a home rather then rent, and there are certain generations that looked down on renting, so I can easily understand why you made the choice to buy, even when prices seemed crazy. It also sounds like you have made some sacrifices being a single mom. Now that your daughter is in college, it seems that best thing you can do for her is to get your own financial house in order. You are at a time in your life that having a home paid for by retirement probably won’t happen, so you need to make the best of the 15 or so years left of working to save for your retirement. Over paying for housing doesn’t usually allow for aggressive retirement savings. I don’t feel comfortable saying you should walk, but like I said in an earlier post, take a good look at all the aspects of walking, speak to an attorney, than make the best decision for your yourself and your future. And if you do decide to walk, hold your head up high and know that you made the decision that was right for you.