The latest couple I am counseling have a situation where their home has depreciated nearly 40K in the last three years. They have no money in savings and are currently both working to support their monthly expenses....mimimal at that.  The problem they are now facing is that the husband is being transfered to an area for his career in two months (no there are no benefits for this transfer).  This commute would be at least a 10 hour drive each way.  The wife does not make enough to support the mortgage in their current home and they cannot afford to have two separate housing payments!  They are planning to move.

 Problem:  They know the home will not attract a buyer for what is owed on the property.  They do not want to "simply walk away" but they cannot afford their housing (apartment) in the new location AND their existing mortgage.  They have thought of renting their current home, however due to regulations of the type of loan they have, they cannot lease for more than one year and still qualify for the benefits that are being offered to help them with the short sale.

Solution:  They already know they are facing a situation where there are going to be BIG PROBLEMS! Instead of walking away from their current home, we are working with the current lender to prove the housing value decline in the area and also the financial hardship that they are experiencing.   This home will go into a short sale with the mortgage holders permission and streamlined to a quick close.  All of the documentation is ready to be presented when the offer comes in. No headaches, no sleepless nights...an educated couple who took the initiate to start the process well in advance in working with their mortgage company!!!!