I'm seeing more sellers consider doing "Strategic Defaults". They could pay their mortgage, but choose not to because they're too far upside down and would rather jettison the debt. In most cases once you do stop your mortgage payments it will trigger a notice of default in 90 to 100 days. So be prepared to move if you decide to do a Strategic Default. Other sellers say the banks have let them stay payment-free for a year or more without addressing the problem mortgage. This is true. I have experienced this here in the Temecula area with my clients and know it's taking place in many other areas.
In case you're wondering Strategic Default and a SHORT SALE are one and the same but most often we think of a short sale only when there is a hardship, not so. Many people just can't stomach the idea of paying hard earned money on a home that has lost its value and make a purely financial decision to Short Sale their home. If you need to sell,or have questions. Call me I will help guide you through this crazy market.