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Old 02-07-2008, 05:56 AM
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Steve Steve is offline
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Isn't it amazing how there are always business opportunities? Even as the real estate market crumbles around us a new website is up and running to help home owners walk away from their home and their mortgages! And get this, California has a law that protects the mortgage holder when they walk away from the mortgage and home, if the bank can resell it! Check out this article! Isn't this a crazy time for real estate?

It does make you wonder if you could offer a similar service in your area.

What's your view on this?

Troubled homeowners: Can't pay? Just walk away - The stage is set for this kind of thing particularly in California, where huge numbers of buyers used low or no-down deals to buy homes. The trend has even spawned at least one new business, San Diego-based, which for a fee of $1,000 purports to guide clients through the process of ditching their mortgages. It launched in early January, and says it has already signed up 180 clients.

California is a bit of a safe haven for these borrowers, since banks that repossess and then sell a foreclosed property for less than the mortgage that was owed on it cannot come after borrowers for the difference - as long as it's the initial mortgage, one that has not been refinanced. So if a borrower owes $200,000 and the bank sells the house for $170,000, the borrower comes out of it debt-free.
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