Any Mortgage/Foreclosure gurus?

I feel for you and totally understand your position. Both of my sons are in the same place along with a few of their buddies. I raised my kids to be responsible and to man up to their obligations and they are. However, I wish that maybe the banks would adjust their mortgages to what their homes are worth now, but they won't, the banks would rather take a bath with losses than give a hand. The only hand being offered, that I know of , is if you are behind in payments 3 or more months and then maybe the banks will adjust your mortgage. My sons are not behind in their payments they are meeting their obligations but I wonder sometimes if they should.... A short sale sounds good but what most folks don't realize is that if your lender allows a short sales the difference between the short sale price and the mortgage is ordinary income for the seller and must be added to the seller's income at tax time. Now you have a larger tax bill. John Q can't win.

:wack: