Going to stop making payments effective 12/1/09

[briknope]

Originally Posted by dannwa

Im in a similar situation. I stopped paying on my condo effective 7/1/09 and just got the default notice last week. The details of my situation are in the scuba gear thread. I have been paying the association fees and will continue to do so until chase conducts the forclosure sale. The logic behind this is that it is my intent to stay in my unit and negotiate a principal reduction with chase. Also, though I am in month 5 of not paying I expect that it will be about another 9 months before I leave due to forclosure. Since I am legally obligated right now to pay the association I will continue to do so. If the bank takes the propery back on 12/2/09 as scheduled I will stop paying the HOA at that time.

I pretty much agree with that plan with the HOA, condo fees are alot more than a single family detached HOA and the legalities are most probably different.

[tb702]

I have been thinking about walking away for more than a year now but I have not had the gut to do it yet. We bought our house in December 2007 for more than $300K now it is probably worth $200K. I feel stupid for continuing to make payment on a house that is upside down big time. My wife lost her job and I am the only income earner. We basically live hand to mouth and with the current economic situation we are one a paycheck away from being broke.

I recently went to the NACA Save The Dream event her in Las Vegas and hoping for some restructuring. If that does not work I will have to stop making payments to Chase to get their attention.

If you are upside down like I am, walking away is the best financial decision you can make now. A credit score is the last thing you want to worry about in this difficult time.

My HOA is about $60 a month. I will probably continue to pay that even after stopping mortgage payment.

Good luck to you all.

[rcr32763]

Hi dannwa,

I am curious, how do you know that the bank is scheduled to take the property back on 12/2/09? Was that information contained in the notice of default that was served? How long was it before you started hearing from Chase regarding being late? Were the calls non-stop?

I am still intending to stop payments as of 12/1/09. I am meeting with a real estate attorney later this week to make sure I have all my bases covered. Thank you for sharing your experience!