How to Allow a Condominium to Go Into Foreclosure

When you can no longer make your mortgage payments, you have several options to consider. These include selling the condominium, asking the lender to work with you on modifying your mortgage, obtaining a deed-in-lieu-of foreclosure, bankruptcy and allowing the foreclosure to proceed. Walking away from a mortgage is the choice many Americans make and it is also the easiest.

• 1

  Stop paying your mortgage payments. Most lenders will wait until you've missed two or three payments to begin foreclosure proceedings.

• 2

  Watch the mail for letters from the lender. They will contact you about your missed payments.

• 3

  Call the lender when you receive a letter regarding their intent to proceed with a foreclosure. Let them know that you are allowing the condominium to go into foreclosure. Call the Homeowner's Association as well. Be aware that both entities can pursue legal remedies for any fees or payments that you owe.

• 4

  Contact the utility companies to have power, gas and water shut off on the date you have chosen to leave the home.

• 5

  Lock the condominium and mail the keys to the lender.