Question: Forclosure? I have a house in Las Vegas that I can’t sell.  It has been in the market for almost two years now and the value of the house has gone down $50K less than when I bought it.  My mortgage is $2400 a month and I have already paid more that $60K for the mortgage.  Renting it out is not an option.  I’m thinking of just letting it go into foreclosure.  What is the worst thing that could happen other than ruining my credit?  I don’t intend to buy another house; the house I’m living in is all paid for, my car is all paid for, I have about 10 credit cards to my name in good standing, and I have money in the bank, I just don’t want anything to do with this house anymore.  Will I go to jail for letting the house go to foreclosure?

Answer: Jail?  No.  Debtors prisons went out way back!  \n\nCouple of things you need to be aware of though ... should the home go into foreclosure - that means the lender had to file legal action against you to obtain the right to sell the property. \n\nIf you do a "deed in lieu of foreclosure" you can save yourself a LOT of money.  That would be deeding the RE (real estate) to the lender without them having to take you to court to get it.  \n\nSometimes a "quit claim deed" is requested of the lender instead.  \n\nNow ... if the lender sells the home for a lesser amount that is owed on it, you will owe the defincency balance.  The things you mention that you have:  a clear home, money in the bank ... etc etc etc.   Those things can be attached by the lender.  Yes even your home.\n\nTalk to your lender - they have been there before I'm sure. \n\nSee what they suggest.\n\nGood luck.
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