UofA law professor says “walking away” not immoral

This is interesting, exploring legal and moral justifications for “walking away.”

“If you stop making payments, you’re not breaching the contract, because default and foreclosure are valid means of fulfilling the contract”

RECOMMENDED: Related NPR interview with a Phoenix real estate attorney Mary Kinsley regarding “strategic defaults” and “walking away.” She used to get callers crying and asking how to avoid foreclosure. Now she gets callers saying they haven’t paid their mortgage in many months, they’re tired of paying the property taxes and HOA fees, so how can they force the bank to foreclose on them? (They can’t force the bank to foreclose.)

February 1, 2010 by Realtor John Wake

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John Wake

Born in Phoenix, trained as an economist and now a licensed Realtor, John uses hard data from the real estate market to help his clients -- buyers and sellers of residential real estate -- uncover their best choices for finding the right home or finding a buyer for their current home.

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