What is the best least wreck my life way to foreclose on my house?

Tod
I bought a house 2 years ago for about $450K. It is now worth about $330K. I have 2 mortgages on the house - 80/20 interest only. The payments are about $3000/month. Given that payments were interest only - there is no equity in the house, so refinancing is not an option. I was waiting for the value of this house to go back up so that I could sell and break even but it just isn't likely to happen. I want to get rid of the house the easiest way possible, i.e. with minimal impact on my life. Does anyone know the best way to go about this? I currently live in the house which is in Florida.

Karma
I do see one alternative. Try discussing the posibility of offering "deed in lieu of foreclosure". This is an option that some lenders may accept if they have a large investor base (most large banks do).What this entails is that you sign over the property to the bank. Even though you do not have equity, the bank has "equity by proxy" in the interest that you have been paying. The bank may be willing to hold the property for a while and sell it on a rebound. Remember that even this route will create a serious ding in your credit, but by no means compares to a foreclosure or bankruptcy. Good luck

Edward
well if you are not actually in forclosure/preclosure you could just put it upfor sale with the conditions that 1. They need to be pre-approved (not-prequalified)2. Must be able to do a fast closeYou can list it yourself and work with a realtor.try these sites:www.fsbo.comwww.forsalebyowner.comwww.virtualfsbo.com

Ana
If you ant to exit there is going to be pain. Otherwise if you can afford to continue to live there you really should consider that option. Foreclosure on your credit report is pretty serious.If you leave...1. You can just stop paying and the lenders will foreclose. Lots of dings on the credit report for the missing payments and then a foreclosure.2. I do not know the state law in FL. In some states the lender can go after the borrower is the lender looses money when they take back a house. In states when lenders can sue for a deficiency judgment they do not automatically do so.3. You can work with the two lenders on a short sale. This is where the lenders agree to accept less than they are owed if the house is sold to a third party. They do this if they recognize that they will come out better than waiting for a full foreclosure process. Not all lenders use short sales and not all properties will fit the profile.4. You can see if there is another person who would buy the property and then make the payments on your behalf. You walk from the property but the loan stays in your name. They make the monthly payments. At some later point they sell or refinance. Not a great option if the property is upside down and is likely to stay that way for a while. The new borrower will have limited incentive to buy such a property and keep the payments up. If they stop making the payments it is your credit that take the hit as you are still on the loan.

Phylis
This is happening across the country. The market has gone flat. Lenders are paying for this buy going out of business.Keep your chin up!