IS IT IN MY ECONOMIC INTEREST TO WALK AWAY?   
You decide.  This calculator is just a tool to help.  Numerous variables are involved but the biggest is probably your assessment of the future of housing pricing.  No one can predict future prices, but the conventional wisdoms says that it is probably not realistic to believe that housing prices will increase by more than 4%-8% per year on average.

WHAT WILL HAPPEN IF I WALK AWAY?
It depends on the particulars of your situation.  In many states, including California, in many circumstances the “bank” has no legal or practical recourse against homeowners who stop paying their mortgages except to take their homes through foreclosure and put derogatory entries in their credit reports. 

LOAN MODIFICATION? 
The more it is in your economic interest to walk away, the more the bank should be willing to make a deal with you to get you to stay and pay.  The banks will try to base modification negotiations on what you can afford as opposed to what you should afford. 

NEED HELP?
For personalized legal advice and assistance with loan modification negotiations consult a qualified lawyer.  California homeowners are invited to contact the Law Office of Peter Fredman by sending an email to payorgo@peterfredmanlaw.com.

THIS IS AN INFORMATIONAL WEBSITE.  IT IS NOT LEGAL OR FINANCIAL ADVICE.  IF YOU ARE THINKING ABOUT WALKING AWAY FROM YOUR MORTGAGE, YOU SHOULD CONSULT WITH A LAWYER.

For more information about the calculator methodology and assumptions involved, please click here or send a request via email to info@payorgo.com.