I once had a guy in the know tell me that if you are in a situation where you are developing negative equity or even worse, the best move might be get extremely liquid, stay in the house rent-free for as long as possible and move when you are absolutely forced out. That way you can save up some dough. I think it might be important to not have you're money anywhere the Gov't can find it though... So yank you're money out of your accounts, stuff it under your mattress and find an Apt. you can take at a moments notice.
That's definitely an option, but I'd like to avoid it if possible. I'm going to start keeping my eyes open for an apartment at a good price, and maybe essentially abandon my house when that comes about, but only if I get everything else worked out by then.
However, this opens up the other question of how this would impact her. Her name is on the mortgage. I wouldn't want to screw up her credit too.
Yeah, that's absolutely going to screw up her credit. I'm surprised that wasn't taken care of in the divorce; generally, some sort of re-finance / buyout is worked out.
We should have worked it out in the divorce I guess, but we tried to keep that very simple. The situation seemed fine for both of us at the time.
I'll definitely look to see how I can get her name of everything before foreclosure, if that is the path I go down.
Topic: Should I allow my home to go to foreclosure? (Read 4798 times)