This Blog/Web Site is made available by the lawyer or law firm publisher for educational purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice. By using this blog site you understand that there is no attorney client relationship between you and the Blog/Web Site publisher. The Blog/Web Site should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.

 Blurb from Bloomberg.com.  "Banks may be forced to resort to a remedy thethey've been trying to avoid - principal reductions - as another wave of foreclosures looms and payments on risky loans rise, Bloomberg BusinessWeek magazine reports in the Jan. 18 issue....

 

Check out this link:  www.housingwatch.com/2010/01/25/the-new-mortgage-revolution-walk-away/      The author views walking away strictly as a business decision, and invites the reader to set aside "morality" concerns.  Worthwhile reading, although there's no discussion about the risks/consequences of this option, which vary from state to state.

 Met a client - no, I do not recommend having another child just to have enough members in the household to meet the income test in a Chapter 7 bankruptcy.  I would never make such a recommendation.  If you want to have another child for other reasons, go for it.  What if the child is not born at the time you file the bankruptcy?  I'm not going there.

 I just got done meeting w/a client who can't get her loan modification accomplished on her own.  The lender keeps losing her file and she keeps re-faxing it.  They always ask her the same questions again and again.  She wanted to simply move out of the house, live with a friend and let the house go to foreclosure.  I advised her that under Oregon law, if she does not occupy the house at the time foreclosure commences she could be susceptible to paying the deficiency, or the difference between what she owes and what the house sells for.  She will now remain in possession to comply with the law and minimize her chances of paying that deficiency.