My question involves a foreclosure in the State of: California
My wife and I purchased our first property (condo) in Dec of 2006 with an 80/20 first and second mortgage. We have never refinanced...
Since then, we have purchased a nice home (house) in May of 2008 for a great price that we currently reside.
We are interested in walking-away from the condo since we have our first child due in July and dont want to keep dumping money into the condo that is $100k+ under-water.
1.) Can anyone confirm my tax liability?
2.) Insolvency - If I'm confident that I will be "insolvent" when it comes to the 1099-C, is there anything else that I should be concerned about besides my FICO score?
Any and ALL comments will be absolutely appreciated - hopefully someone that has gone through this before.