Question: Does anyone have experience with walking away from VA loan? I have 3 houses, living in one and renting 2 in Arizona. One rented house is up side down, worth only 50% of original purchasing price with a VA loan. For the first time thinking of short sale then foreclosure if i fail to sustain the payment in 6 months. In AZ, VA is exempt from the Anti-deficient law. How do I get around this? Please help. Thanks.
Answer: – I think you’re going to find it’s the same no matter what kind of loan you have. You have an obligation to pay a specific amount each month. If you cannot pay, the mortgagor has the right to initiate the foreclosure process to try can get the money back that was borrowed. [Read more…] about Walking away from a VA loan