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Old 06-19-2008, 08:51 AM
 
84 posts, read 407,032 times
Reputation: 34

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If anyone knows any advice on the following matter, your input could substantially help my wife and I in our goal to get to Hawai'i

We live in southern CA....have a nice little house....but we are now in a position where we owe more than its worth. Renters have moved into our community, and they haven't been of the best quality. Nobody wants to buy in our area....the neighborhood has begun to decline. To "ride it out" in our case could be 5 years.

So my question is:

We don't have to foreclose....we can make the payments - but CAN we foreclose in a year if we want to get to Hawaii? Would the lender seek a deficiency judgment against us? Follow us to Hawaii, try to seize assets or garnish our wages??

Can we walk away? Or are we stuck in Hell, 5 years away from our dream?

MAHALO if anyone can shed some light....

Dan
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Old 06-19-2008, 09:00 AM
 
930 posts, read 2,423,693 times
Reputation: 1007
Wow. Wouldn't you kinda be moving to Hawaii without a pot to pixx in? I guess as long as them nice folks in Hawaii keep paying their taxes and don't mind supporting you, you are golden.
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Old 06-19-2008, 09:06 AM
 
84 posts, read 407,032 times
Reputation: 34
Whooaa.....nobody will be supporting me. We'll have jobs, pay our own taxes, contribute to the community. I'm talking about walking away from my house.
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Old 06-19-2008, 09:45 AM
 
12 posts, read 30,596 times
Reputation: 13
Why don't you try doing a short sale? That way you can avoid foreclosure because if anything that will haunt your credit for years (you won't be able to buy a house, a car, maybe even become unable to qualify for a place to rent)!!
If I were you I would talk to a few Real Estate Agents for advise and about what your options might be besides foreclosure.
Blessings.
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Old 06-19-2008, 09:54 AM
 
Location: Kauai
649 posts, read 3,444,731 times
Reputation: 473
There's a lot of discussion on similar topics over in the "real estate" forum on City-Data. Check it out there. Lots of professionals, and others, have weighed in on this issue.
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Old 06-19-2008, 10:52 AM
 
84 posts, read 407,032 times
Reputation: 34
Thanks for the responses....yes I know its a major deal, and I definitley need to do my research. I'll check out the real estate forum....maybe Hawai'i will have to wait a few years Just sad though, because I'm one of those people who believes you only live once, every moment is precious, and delaying your dreams is pointless...
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Old 06-19-2008, 06:19 PM
 
Location: Savannah, GA
20 posts, read 96,240 times
Reputation: 29
You might should have delayed your dreams of homeownership when you decided to buy this house.

I suggest you keep you house for a while until you can break even. It's the responsible thing to do. Foreclosure will kill your credit and stick the bank with the losses.
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Old 06-19-2008, 09:47 PM
 
84 posts, read 407,032 times
Reputation: 34
Yeah, you know....I was just frustrated....feeling trapped.

You guys are all right - foreclosure is bad for me, bad for neighbors, bad for the lender, bad for economy, bad for everyone....

I'll man up and keep the house, but might just rent it out anyway....we'll see.

Either way, mahalo for the responses
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Old 07-23-2008, 08:12 PM
 
18 posts, read 82,207 times
Reputation: 14
post your situation over at thecreativeinvestor.com they are always looking for a deal. but I will say that for being upside down.... foreclosure is not the only answer.

can it leasehold to pay the mortgage? Many will pay more if you offer a minuscule down payment.

contact the company's loss mitigation

short sale

subject to existing financing and you take out a second.

foreclosure is not a good thing and you have an obligation.
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Old 07-24-2008, 09:20 AM
 
190 posts, read 849,039 times
Reputation: 75
Dan, the law varies from state to state. Some states allow the bank to get a deficiency judgement. Others say that whatever comes from the foreclosure is considered payment in full to the bank. I'm not sure what California's law is but I believe it goes with the latter. Check to make sure.
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