[mantasm]

This depends on the state, e.g. in California:

"Strategic default works in California because this is a "non-recourse" state. Unlike in many states, a mortgage lender in California has only one type of legal recourse in the event that a borrower defaults on a loan: to foreclose on the property. All that the bank can do is repossess your house; they cannot sue you in court to recover payment for the deficiency, which is the difference between the outstanding loan balance and the amount that the bank recovers by selling the home in a foreclosure auction. Strategic default has the advantage that in many cases it allows the homeowner to remain in the property for an extended period because the process of foreclosure often takes a considerable amount of time. During this period, you can save the money you would normally be spending on your mortgage and use it to pay down other debts."

https://www.sandiegolegalpros.com/other-practice-areas/forec....

[LatteLazy]

Oh, sorry, I didn't know that. I stand corrected!