Why not walk away?

[sandiego]

I am in a condo in downtown San Diego with a fixed rate of 5.75% until 2014. Several units have been foreclosed on in my building and are currently on the market for prices that have effectively wiped out any equity I had plus another 10-20%.

I bought in 2003. My next door neighbor had their property appraised (smaller unit, same view) for $1 million in 2006 so I felt pretty good at the time about having a 65% loan to value.

Why should I continue to pay full price for an asset when the banks (Countrywide) have crushed the prices all around me?

It is highly unlikely that my unit will be above water anytime in the next 7 years so why not take my lumps now (with a foreclosure) and walk away?

[patientlywaiting]

That’s exactly what I’ve been wondering with all the talk of bailout, reset moratorium, etc…

Why continue to pay full price on something that has depreciated a whole lot.

If you carefully read your mortgage contract you have an “option” to walk and let the bank foreclose. Nothing wrong or illegal about that. Just be sure you know what you’re doing.

If you didn’t refinance your initial purchase loan (non-recourse loan), then there’s not a thing the bank can do but take your condo back.

[patientlywaiting]

That’s exactly what I’ve been wondering with all the talk of bailout, reset moratorium, etc…

Why continue to pay full price on something that has depreciated a whole lot.

If you carefully read your mortgage contract you have an “option” to walk and let the bank foreclose. Nothing wrong or illegal about that. Just be sure you know what you’re doing.

If you didn’t refinance your initial purchase loan (non-recourse loan), then there’s not a thing the bank can do but take your condo back.

[patientlywaiting]

That’s exactly what I’ve been wondering with all the talk of bailout, reset moratorium, etc…

Why continue to pay full price on something that has depreciated a whole lot.

If you carefully read your mortgage contract you have an “option” to walk and let the bank foreclose. Nothing wrong or illegal about that. Just be sure you know what you’re doing.

If you didn’t refinance your initial purchase loan (non-recourse loan), then there’s not a thing the bank can do but take your condo back.

[patientlywaiting]

That’s exactly what I’ve been wondering with all the talk of bailout, reset moratorium, etc…

Why continue to pay full price on something that has depreciated a whole lot.

If you carefully read your mortgage contract you have an “option” to walk and let the bank foreclose. Nothing wrong or illegal about that. Just be sure you know what you’re doing.

If you didn’t refinance your initial purchase loan (non-recourse loan), then there’s not a thing the bank can do but take your condo back.

[patientlywaiting]

That’s exactly what I’ve been wondering with all the talk of bailout, reset moratorium, etc…

Why continue to pay full price on something that has depreciated a whole lot.

If you carefully read your mortgage contract you have an “option” to walk and let the bank foreclose. Nothing wrong or illegal about that. Just be sure you know what you’re doing.

If you didn’t refinance your initial purchase loan (non-recourse loan), then there’s not a thing the bank can do but take your condo back.

[sandiego]

That is the big picture. Even if you don’t have a subprime or Alt-A loan, you are getting slammed by your neighbors bad choices.

[sandiego]

That is the big picture. Even if you don’t have a subprime or Alt-A loan, you are getting slammed by your neighbors bad choices.

[sandiego]

That is the big picture. Even if you don’t have a subprime or Alt-A loan, you are getting slammed by your neighbors bad choices.

[sandiego]

That is the big picture. Even if you don’t have a subprime or Alt-A loan, you are getting slammed by your neighbors bad choices.

[sandiego]

That is the big picture. Even if you don’t have a subprime or Alt-A loan, you are getting slammed by your neighbors bad choices.

[kewp]

Well your credit is going to get dinged, so no one is going to want to lend you money to buy a house again anytime soon.

HOWEVER, given that tossing the keys will be the new black for ’08 I would not be surprised if lenders once again lowered their standards in the future to drum up business.

[kewp]

Well your credit is going to get dinged, so no one is going to want to lend you money to buy a house again anytime soon.

HOWEVER, given that tossing the keys will be the new black for ’08 I would not be surprised if lenders once again lowered their standards in the future to drum up business.

[kewp]

Well your credit is going to get dinged, so no one is going to want to lend you money to buy a house again anytime soon.

HOWEVER, given that tossing the keys will be the new black for ’08 I would not be surprised if lenders once again lowered their standards in the future to drum up business.

[kewp]

Well your credit is going to get dinged, so no one is going to want to lend you money to buy a house again anytime soon.

HOWEVER, given that tossing the keys will be the new black for ’08 I would not be surprised if lenders once again lowered their standards in the future to drum up business.

[Author]

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