I was licensed broker in CA and CO, syndicated properties, had mgmt companies, done trades (1 was a 17 legged exchange with properties in 4 states), built over 40 spec homes in So.

They may choose to stay instead of retiring to Florida, Arizona, or California.

Appreciation was enough incentive to move to an undesirable neighborhood for newer home buyers in California.

Then, you're stuck with a house with a (nearly) $150K note that's only worth $125K.I assume you're really from LA, CA, not Alabama.

Here in CA, where we had the largest rapid level of appreciation in RE, the state received huge amounts of unexpected revenue from prop taxes, and today, are screaming that they are out of money.

It is only $300, not worth losing your credit.Now if you were me in CA, buying in 2005, paying 3k a month . .. . now that is a different story. ha haGood job all!

I would call them, visit them, assess the condition of the apartment and arrange to get the keys from them.

And are they protected by tenant Laws of the state of California?

We just closed on our house and got the final settlement (we live in California).

Countrywide was "forced" to do so by the CA Attorney General starting in December.