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Survey: 60 percent opposed to walking away from mortgage

Posted On Mon, April 11, 2011

When times are tough and people no longer have the resources to pay for their property, homeowners will occasionally walk away from their mortgage. But a new survey is finding that a significant percentage of people believe that's the wrong thing to do.

In a telephone survey of 1,000 U.S. adults, FindLaw.com found that nearly two-thirds of respondents - 60 percent - said it was "never OK" to walk away from a mortgage, or what industry insiders often refer to as strategically defaulting.

Stephanie Rahlfs, an attorney and editor for the legal advice website, said that she understands homeowners who walk away feel they're out of options, but Rahlfs cautions that doing so can have serious consequences.

"Homeowners should consult with financial and legal professionals, including accountants, real estate attorneys and financial advisers," Rahlfs said. "Any major change to a mortgage situation could lead to serious and unanticipated consequences involving taxes, contract law, credits scores, ability to borrow in the future and much more."

One's credit score is particularly important for home insurance rates, as one of the factors companies take into consideration when assessing someone's premiums is their credit rating. 

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