[Scott]

First- Thank you to all who provide the knowledge and advice on this forum, it's a huge help.

I would really appreciate some help with my situation and suggestions on the options I have...

Here's the facts:
-CA primary residence
-80/20 loan - all purchase money, never touched the equity line
-Owe 505k on first to Aurora company (5.875 rate fixed for 30 yrs)
-Owe 105k on second to Chase (rate is prime rate)
-Purchased house for 630k in 2005 with zero down and stated "no doc" income
-House worth about 400k
-I'm married but my wife is not on any of the mortgage papers, but she is on the title

Here's the dilemma:
-we have no hardship, we have plenty of assets in the bank, but for personal reasons want to just walk away.

Here are the questions:
-If we foreclose/DIL/Short, can the 2nd loan company (Chase) come after us for a deficiency judgment? All the loan money was used for the original purchase of the house.
-Will my wife's credit be affected or just mine?
-Could my wife technically buy another house now or soon in just her name after I foreclose/DIL/short-sale this house?
-What would be our best option: walk away, DIL, short sale?

Keep in mind that we can't prove any hardship.

Thanks for your help-

Scott in CA