Strategic defaults are anything but strategic for distressed homeowners today.  Fannie Mae has now intensified penalties for those who "strategically default" on their mortgages stating: "...defaulting borrowers who walk away and had the capacity to pay or did not complete a workout alternative in good faith will be ineligible for a new Fannie Mae-backed mortgage loan for a period of seven years from the day of foreclosure."

This is yet another reason that homeowners should seek other alternatives to foreclosure, including short sales, and why agents need to have all the information to counsel distressed homeowners properly.

Visit my website www.AbbottCanHelp.com to learn more about foreclosure alternatives.