I know of eight foreclosures/shortsales personally. All of them were able to make the payment but just decided that it was not worth it to stay or pay.
1. Bought equal type house for 40% discount from previously purchase, let previous home go into foreclosure.
2. Decided renting would be cheaper then paying mortgage. Lived rent free until kicked out. Did not save money while living for free.
3. Basically same as #2.
4. Currently living rent free and hasn’t paid property tax. 8 months and counting. Still getting housing allowance from Navy.
5. Currently living rent free (4 months), offering house as a short sale, has current offer. Has not paid 2008 prop tax. Bought new Lexus before credit gets ding.
6. Decided renting is cheaper then paying mortgage. Bought new SUV and moved into a rental.
7. Haven’t paid for 3 months, waiting to get kicked out. Trying to save money, but can’t resist shopping.
8. Haven’t paid for 10 months, hired a lawyer to stay in home longer. Have not paid 2008 taxes.
One common factor in all these foreclosures *little or no money down* and the anticipation of appreciation (AKA free money).
