Hello, I've been considering a strategic foreclosure for the past couple of years. Since I live in Illinois, my biggest concern was a default judgement. It appears that lenders are starting to go after Illinois residents who've walked away, so I'm now leaning toward staying and increasing my payments to reduce my principal. I bought my condo in 2007 for $166,000. It is now worth about $90,000, and I owe about $146,000. $123,000 is my primary mortgage with Citi, which I was able to refinance about a year ago. $23 is a 2nd loan with BMO Harris that was taken to cover my down payment. It is a balloon loan, my payments are mostly interest, and the balance of around $21,000 will be due in 2017. BMO Harris is not willing to work with me to modify this loan. My income is too high to qualify for a hardship program, but low enough to keep me trapped here. It seems that my only option is to increase my BMO Harris payment from $192 a month to over $600 a month to get it paid off by 2017. Even if I have it paid off at that point, I will still most likely be underwater. I'm looking for some advice on my situation. Is there any way to get BMO Harris to budge on this loan (lower the interest rate, principal, or extend the balloon payment due date)? Should I still consider a strategic foreclosure? I considered bankruptcy, but I don't qualify for chapter 7. Thanks in advance for your thoughts.