Foreclosure affecting husband's credit

[Anonymous]

So here's the situation.  I purchased my home in 2002, while married to my first husband.  We divorced shortly thereafter, and as part of the divorce agreement, I refinanced the house into my name only, taking out the equity so that I could pay down my car and everything else, in a desperate attempt to be able to afford the place to keep myself and my three children there.

Fast forward to now.  I have remarried, just two years ago.  My current husband and I are separated, but trying to work things out.  He is living in his own home, not  mine.  I will not be able to continue to pay this mortgage, and the houses on my block are going for $170k...my loan is 220k!  I am 50k upside down.

I am going to have no choice but to allow the home to foreclose. 

My question is twofold....number one, what are the chances that the mortgage company will try to come back and sue me for the leftover balance after they sell the house?  and number two, will this impact my current husband's credit even though his name was never on the loan and the loan was secured before we were ever together?

[ShanetheMortgageMan]

If your state permits deficiency judgments then it's possible the lender will come after you for the difference.  I'd strongly urge you to get legal advice on the consequences for your specific situation.  The answer to your second question is nothing would happen to your husbands credit since he isn't on the mortgage or title of the home.  You might want to look into a short sale, where you sell the home for a certain amount (close to $170k), and a portion of the mortgage debt is forgiven by the lender.