Most Americans Oppose Walking Away from Mortgages
Even though some are reporting that the housing market is slowly improving, many homeowners are still finding themselves in financially difficult situations and are facing foreclosure.
In response, some homeowners are walking away from mortgage payments altogether, refusing to pay. But, according to a survey conducted by FindLaw.com, the majority of Americans don't approve of this tactic.
Sixty-percent of people polled by FindLaw.com believe that it is never acceptable to walk away from a mortgage, even if there is a valid reason to do so. Thirty-four percent, however, said that walking away is okay, but only if payments are not financially possible.
Only three percent felt that homeowners should be able to walk away regardless of financial circumstances.
Walking away from mortgage payments is not the best idea in the world, and it isn't a floundering homeowner's only option.
Besides the fact that failing to make payments can cause legal problems in the areas of contract, real estate and tax law, doing so will undoubtedly ruin a homeowner's credit score and ability to purchase a home in the future.
There are a slew of federal and state programs that are designed to keep homeowners from walking away from mortgage payments. The Department of Housing and Urban Development offers free loan modification counseling, while most states and municipalities offer grants and tax hardship programs.
So if you're nearing, or in, foreclosure, and considering walking away from mortgage payments, check out our section on real estate law and learn about your options.
- Alternatives to Foreclosure (FindLaw)
- 10 Tips to Avoid Foreclosure (FindLaw)
- Mortgage Loan Modification Negotiating Tips (FindLaw's Free Enterprise)
- Celebrity Foreclosures: Their Houses in Foreclosure Just Like Us (FindLaw's Celebrity Justice)