Strategic Default Strategic foreclosures are emerging as a more common trend as
homeowners across the country are looking for ways to escape underwater mortgages.
Strategic default, or strategic foreclosure, is a process by which homeowners that
are struggling to continue making their monthly mortgage payments, make a calculated
financial decision to default on their mortgage in order to improve the likelihood
of getting out from an underwater property.
Do you owe more than your house is worth? You’re not alone, and you’re not without
options. A recent 60 Minutes Special estimated nearly 11 million Americans are currently
underwater with their mortgages, and the number is projected to double in the next
few years.
Strategic default is also often the first step for homeowners looking to execute
a short sale, loan modification or deed-in-lieu of foreclosure. Strangely, banks
will usually not even consider a request for any of these real estate options unless
a borrower is at least one month behind on their mortgage payments. Homeowners are
being forced into default by the banks’ inefficiency and unwillingness to offer
meaningful assistance.
After doing the math and watching property values shrink in some instances to less
than half of what’s owed on a mortgage, more than 1 million homeowners joined a
growing group who have allowed the banks to file foreclosure against them in order
to get a strategic advantage in negotiations with the bank.
If strategic default is an option you are considering, it is suggested you consult
an attorney. CAPITAL LAW CENTER Robert W. Carlson & Associates, P.A. can protect
your rights during the strategic foreclosure process, help prevent deficiency judgments
and represent your interests during negotiations with your bank.
Our law firm specializes in providing helpful and beneficial settlements which acquire
the most favorable results with the lenders and investors. Call us today for a FREE
consultation at 1-866-533-2533 or
CLICK HERE to have
us evaluation your situation obligation free.