re: Is "walking away" from a mortgage wrong?

quote:

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I don't know if I've even gotten a straight answer on this, but do you know exactly how long walking away from a mortgage will haunt you?

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Well...it depends

We did a lot of research before our short sale (just in case). The delinquencies and the final settlement (when the bank sells your house and/or writes down your loan) will stay on your credit report for 7 years.

If you don't live in a non-recourse state, the bank can sue you for the deficiency balance (what's left after they apply net proceeds to your loan). In many states, judgments are renewable, so banks can either renew them (perhaps indefinitely) or sell them to a debt buyer who will do so.

That will show in the public records section of your credit report and won't go away until it is satisfied or it expires.