Help! Should we just walk away?

[charadrake]

Hi. I'm in Michigan, and just found out that I'm losing my job this coming spring (being downsized). I refinanced my mortgage into an 80/20 (BOA and Countrywide) in January '07, and put my husband on the condo/mortgages then (I bought the house before we were married.) I filed Chapter 7 in August, and included the mortgages in the filing. My husband didn't file, because all the credit card debt was mine so I figured we should keep his credit good if possible. I never signed any reaffirmation agreements with the mortgage companies. I'm still waiting on my discharge.
Because of my job loss, we have decided to move to CA, because my sister lives out there and there are a lot more jobs there. (My husband's job here isn't very good.)
We'd like to get rid of the house. We are upside down at least $10,000, so I'm sure that we wouldn't be able to sell it for near what we owe, and the house needs work. My bankruptcy attorney told me to just let it go. But I'm worried about them coming after my husband for a deficiency, since he didn't file. I figured that if they do, then we can have him file at that point, since we most likely won't be able to afford any deficiency.
Should we just walk away? My BK lawyer said he thought a short sale would be a waste of our time and resources. We can't rent the house out for enough to cover the bills.
I also am wondering how "voluntary" foreclosure works - do I mail the keys to both mortgage companies when we leave? Do I just stop paying a few months before we decide to move? (I have to wait for my company to "release" me so I can get my severance package.) - also, because it's a condo, how do I deal w/ the association? any advice? has anyone dealt with this before?
Any help would be fantastic.
Thanks

[No Gravy]

Because of my job loss, we have decided to move to CA, because my sister lives out there and there are a lot more jobs there.

*falls over laughing*

Unemployment is almost 9% state-wide, and the unemployment fund with be out of cash in January.

I hope it works out for ya.

[Flamingo]

First, until you are actually handed your pink slip or severance papers by your employer, you are still employed and could still be so next spring if things change for your employer. You can't bank on events that have not yet occurred. It appears you have already spoken with your attorney and received some great advice for your particular situation. You will need to research your condo associations rules as to fees as you will be responsible for any due and owing as many condo owners are finding out when they let it go into foreclosure. You have a lot of presonal decisions to make based on your own finances and location and right now are banking on a job not yet lost. Best of luck to you...

[truckerswife]

Our home is going to be in foreclosure shortly. The stay has been lifted (we filed 13). We were buying a condo also. We were about 4 months behind in dues, before we moved. The manager of the association came knocking at the door. He usually deals with me but my husband answered the door. manager didn't know what to say at first. Then he asked if we were going to be able to pay the current month. Husband said "no. the home is going into foreclosure. we have to spend the money to move. we are starting to move this weekend." manager responded with "we haven't received the notice yet". Husband told him they would soon. manager just said okay and walked away. I feel kinda bad about owing the money (unfair to other owners) and I know we will eventually pay it but that association sucks! The manager use to live next door to us as a renter, and then moved off the property. How can a non owner have so much say so? And no one ever followed the rules. His response always was "they were grandfathered in". Anyway it is sitting empty now along with about 20 more. Electric is off. It is still insured though.

[endisnear]

Yea I'm with No Gravy... We are in CA, DH lost his job last Nov and JUST started a new job last Wed.....that's right, a year u/e! A few months of which he didn't have any UE coming in until they passed the extension in July. Off topic, i know. But i hope you're able to find some luck out this way

[charadrake]

Unemployment is worse here.

Michigan's u/e rate is actually worse than CA's right now. I live near Detroit. I'm losing my job in big part because of the Big 3's troubles and the housing market, and the internet (I work for a newspaper in advertising). I've been looking online for jobs in L.A. and there are way more than there are here. I guess it depends on the field you're in, or if you're willing to change direction a bit.
Has anyone walked away because they were moving? I'm wondering how that works, especially w/ an 80/20 loan - do I send both banks a set of keys, or just the main loan?

[bulletproof77]

Southern California unemployment 9%+...where I live in the Inland Empire (Riverside-San Bernardino County) it's more like 13%..The upside is that you will have your choice of literally THOUSANDS of foreclosure homes to pick from. I was laid off after 14 years at one chemical company, took me 9 months to find a new job that pays less and is farther from home. And I am a skilled tradesman who usually turns down jobs (high voltage electrician/lineman)