Should I foreclose?

[homerunkevin]

What is the name of your state? CA
3 years ago, I purchase investment condo for 385k in San Ramon and now it goes down to 300k. I put down 40k as down payment and unable to refinance. My interest index rate can goes up as high as 9%. The tenant does have a 1-year lease that expires on January 2009. If I get pre approve loan, I plan buy a 2nd home so that I can live in the next 10 years and walk away from this condominium. Can they come after me on bank checking account or my 2nd home? Is there a company that helps me on going through the process, help repair credit, tax ad visor and so forth? Anyone heard of or have any experience with youwalkaway.com or other foreclosure company? Please advice. Thank you.What is the name of your state?What is the name of your state?

 

[FlyingRon]

Technical note: Lenders foreclose. Borrowers (well specifically the property) is foreclosed upon.

The california non-recourse rules do not apply to investment properties. They can come after you for the deficiency.

 

[homerunkevin]

Correction! On my loan, i put down primary residence. HOwever, because it was too far for my family, i decided to rent it out.

 

[LindaP777]

Correction! On my loan, i put down primary residence. HOwever, because it was too far for my family, i decided to rent it out.

Ahh, add "fraud" to your list of accomplishments!

 

[nextwife]

I don't understand how so many "investors" are SOOOOO short minded. If their STOCK investment drops temporarilly, do they rush to dump it at the bottom of the market? Real estate has always been intended to be a LONG term investment. This is not the first or last time the market will take a dive for a bit, but it always recovers. Because there is only so much land, and people have to live somewhere. Stop thinking like a simple minded short term buyer and complaining how your failure to earn a quick profit means you should dump the property now. Real estate is NOT an investment that is intended to be churned over short periods. And rentals sometimes need to be fed for a while.

 

[FlyingRon]

Correction! On my loan, i put down primary residence. HOwever, because it was too far for my family, i decided to rent it out.

Doesn't matter what you "put down," If you didn't live there, it's not subject to the anti-deficiency law.

 

[FlyingRon]

Rental real estate has always been problematic. If you can't deal with negative cash flow (either because market rents decline or the fact that your property is vacant) then you really ought not to be in that business.

 

[jpathfynder]

Ahh, add "fraud" to your list of accomplishments!

This isn't necessarily true. If you actually planned to live there and through "hardship" were unable to...

 

[homerunkevin]

My wife had a baby at that time in the beginning in the year. Because of that we move back to SF where her parents were to help out. ever since we rented the place out. Thus, can that be hardship?

 

[HomeGuru]

My wife had a baby at that time in the beginning in the year. Because of that we move back to SF where her parents were to help out. ever since we rented the place out. Thus, can that be hardship?

**A: no****************************..