Law Office of Peter Fredman
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PayorGo.com

Strategic Mortgage Default in California

Walk Away From Your Mortgage Calculator

Should I Pay Or Should I Go?

DO YOU HAVE NEGATIVE EQUITY IN YOUR HOME?
The value of my house is  $
I owe this much on my mortgage(s) $
My Equity (or Negative Equity) Is $
ARE YOU PAYING MUCH MORE TO OWN VERSUS RENTING THE SAME HOUSE?
I could rent a comparable home for this much per month $
I pay this much mortgage and property tax per month  $
My income tax rate is (estimate 10%-35%) per month     %
My monthly extra cost of ownership is $
HOW LONG CAN YOU WAIT?
I plan to live in this house for this many years  years


I Should Walk Away Unless I Think My House Will Be Worth At Least      In          Years
This Means That My House Must Increase In Value An Average Of      Per Year for          Years. 



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  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.