As an Asset Protection Attorney, I’ve worked with many, clients considering a strategic default on their mortgage. So many are looking for advice on how to best handle real estate that is now underwater.

Strategic Default vs. Moral Obligations

Besides understanding the consequences, one of things we speak about about is the moral obligation to make good on their commitments. This is understandable. I, like you, was raised with a strong sense of moral duty to meet the obligations I agreed to and pay what I said I would. But here’s the rub: our government does not live by the same standards. And there comes a point where you must put your personal financial situation first.

Quit Feeling Bad for the Banks

If you are considering a strategic default on a mortgage, but feel guilty, then please watch this video on loan modification. This video  explains what’s really going on and why it’s so hard to get your bank to speak with you unless you are already in default. With a strategic default, or just plain default, you can quit feeling bad for the poor banks who are not going to get their loans repaid. If the banks were that concerned, then it would be likely that the sub-prime crisis would never have occurred in the first place.

Protect Your Other Asset with Asset Protection

If you are considering a strategic default foreclosure mortgage, I urge you to also consider asset protection to protect your other assets from exposure. Don’t let creditors get to your other healthy assets.   Also speak with a foreclosure attorney in your area. After you have your ducks in a row, then move fast. Delaying an inevitable decision is rarely a good idea.