can i sell for less than owed and pay the difference monthly?

[taggl00]

my scenerio....

i own a condo in ny. i purchased for 209,500 in 2005. 100% financing

loan was 80/20 thru countrywide...now BAC loan

currently mortgage is paid down to $196,xxx combined.

values for condos in my complex is 160-180k

would a bank let me sell for 180k and let me keep paying the difference?

i want to sell but know it will go for $20k less than i owe. i dont have $20k cash and i would like to buy a cheaper unit in a different complex? am i just stuck here for another 10 years?

[BrianB_The_Loan_Professor]

You may want to discuss this with your bank and see if you can get a personal loan to cover the difference. If they allow this it may save your credit.

Most just do a short sale and take the hit on their credit. For that amount I dont think i would personally. I would try to own up like you are and see if you can get them to work with you.

You wont know until you ask

Good Luck

Brian

[GregB]

Don't forget the cost of selling, commission and other fees. That is going to reduce your net by quite a bit. You might want to find out if the loss on a short sale or foreclosure will be taxable, eg: will you get a 1099?

A short sale OR a foreclosure will prevent you from buying any other property for quite some time.

Look at all your options. With the little info provided, it sounds far better to stay where you are.