A lot of Americans work very hard to make their mortgage payments every month. They do this even if they are aware of the fact that the house is underwater. This may be because it is harder to part with a house that has a significant contribution to the family's history and memories. Although letting go of the house is hard, if they cannot keep the payments up to date the house would be set to foreclosure. 
Sometimes it is tempting to just let it go until the bank takes over and handles everything from there, but that may not be the wisest thing to do. You may feel that you've exhausted all means to salvage your house or your credit score, but there is still another option that may give you a breather. Get yourself evaluated and see if you are qualified for a short sale - you will see that you can still reverse the ugly crisis to a win-win solution!
Once the bank agrees to let you sell your home at a lesser amount than what you owe on your mortgage, and as soon as the house gets a new owner, the majority of your mortgage is paid off. You will then owe the lender a much lower amount, but there is a big chance that the bank will write this off instead of paying for the process of getting you to pay the remainder. So long as the short sale process is done correctly there will be less damage done to your credit score than a foreclosure would cause. Short sales do not go without risk, however. You will need to make sure that you meet the banks' requirements before you make a proposal. Lenders also have criteria that you should meet before they agree to support it. A good tip is to get your house appraised first to make sure that it is worth less than what is owed on the mortgage.
Short sales have their own benefits too - you have control of the sale, you get to know who will buy your house, you can still be current on your payments and still be eligible for short sale, and most of all it will save you from the damage that a foreclosure will cause on your credit. Loan applications also don't include short sale questions, as a foreclosure report would most likely deny you the loan. Also, you will be given 2-3 months to get ready to vacate the house once it is sold in short sale. In foreclosures,though, you would be asked to vacate the property immediately. If you still have doubts or questions regarding short sales, call The Zac Team at 404.564.7200 or 404.917.0710 or visit www.shortsalesinatlanta.com.