Help! Mortgage almost 200k over Value

[IETroubled1]

I would appreciate any input.

My wife (at the time) and I purchased our home in the Murrieta area back in July 2005. It was my first home purchase and I only bought because I finally had a job that paid enough for me to buy a house. It wasn't as an investment, I thought I would live here long term.

Loan Info
80/20 Total 465,500
1st 5.75% 372,400 (Balance 344k)
2nd 8.75% 93,100 (Balance 89k)
Both Serviced by Litton Loans

I also have a HELOC from my Credit Union - Balance 42k

Assessed Value from County $240k (Just got notice this month)


My wife is now my ex and I have been living in the home and paying the mortage for over a year. My payments are almost $2,900.

I still have my job but between the mortgage, two kids in college, other debt and doubts about how long it will take for my equity to ever get back to even I am contemplating a move out of state and just letting this thing go.

The way I see it... I owe 475K on a property the county values at $240k.

I can find 5 bedroom 3 bath homes in the same zip code with a pool (Like mine) for $199k.

I think I want to walk away and move out of state.

Advice on doing this?

Thanks

[Evan Bedard]

Hi ietroubled welcome and thank you for joining.

I think I want to walk away and move out of state.

Advice on doing this?

If you are going to walk away I suggest you quit paying your mortgage and save up as long as possible until the foreclosure goes through. I've seen foreclosure take up to a year hear in California...

[IETroubled1]

I think I am going to move before then. When I am ready to move, should I just mail my keys to them?

[visalia]

i will walk away, but stop paying mortgage now and wait until they ask you to move it.