Think Again Before Walking Away.

It seems to be getting more and more popular for homeowners to walk away from a house that they can still afford. People have reasoned as of late that if they are too upside down, they can just walk away. They realize that they will take a hit to their credit but that they can build it back up and purchase another home in a couple of years. Turns out, that is not the case. Banks still care if you have taken responsibility for what you agreed to do in the past. A homeowner who defaults on their mortgage because of economic hardship can sometimes qualify again in as little as two years.

"It could be well over seven or eight years before [walkaways] are able to obtain a mortgage to buy a home again," said Jay Brinkmann, chief economist for the Mortgage Bankers Association in an article for CNNMoney.com. "Credit scores are only one component of a complete credit decision," he said. "[In these cases] credit scores are not a good indicator of their willingness to continue to pay their mortgage."

These so-called "strategic defaulters" will most likely also be charged a higher interest rate than those who have not walked away even though credit scores might be similar.