Walk away from your mortgage because you were an idiot.

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Bowielee

Bowielee

Well, at least Fade and GL can rest easy knowing that those dastardly people who skipped out on their loans will be getting their comeuppance.
 
C

Chibibar

zero;337276][QUOTE=Bowielee said:
Thought this article was pretty pertinent for this thread.

http://finance.yahoo.com/news/Mortgage-lenders-pursue-cnnm-3107909798.html?x=0
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"Deficiency Judgement", eh? That's pretty funny... I suppose then that in the cases where the foreclosure sell results in PROFIT to the lender, the burrower is entitled to receive the difference, right?[/QUOTE]

You know.... I do wonder about that. I mean if the banks can go after YOU for leaving, I'm sure it should work in reverse!!
 
sixpackshaker

sixpackshaker

Bowielee said:
Well, at least Fade and GL can rest easy knowing that those dastardly people who skipped out on their loans will be getting their comeuppance.
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Tacking on $65k to $400k debt will matter very little for some one that will just ride the tide until their credit clears up.
 
C

Chibibar

sixpackshaker;337318][QUOTE=Bowielee said:
Well, at least Fade and GL can rest easy knowing that those dastardly people who skipped out on their loans will be getting their comeuppance.
Click to expand...
Tacking on $65k to $400k debt will matter very little for some one that will just ride the tide until their credit clears up.[/QUOTE]

True, but this one will ride with you upto 20 years. I am not sure if it can be cleared with Bankruptcy in some states (some can like they did in the article) but the banks will usually do this if.

Guy A bought a house for 400k, market crashed and house only REALLY worth 125K, he can't sell it to make any profit, ditch it and living ok (he has a job, everything is paid on time) so the bank will try to sell the house, if the bank succeed and only sold it for 200k, then if Guy A owe 380k, then Guy A now has a debt of 180k to the bank.

Guy B bought the same home, but lost his job, divorce, and lose his home, if he didn't recover in 5 years (article said upto 5 year wait) and still in deep in debt, the bank might just write it off.

@Tinwhistler: I would have to agree, I don't think the owner will get it. That mean with the right lawyer, a person could get out of that debt too since the bank clear it BUT also, if a person is going to sell it, make sure the bank sign a form to RELEASE all debt relating to the home :)
 
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