Actually SWGB is right. Maybe its not a short sale, but the bottom line is that the investment is a dog and she should get out. With all due respect to Laurel Hill residents, the value will probably never get back to what she paid for the lot given the location. My advice based on considerble experience would be to contact the bank and let them know your situation. First and foremost, let them know unequivicolly that you continuing to pay 11k per month in perpetuity is not an option. If you give them any kind of clue that you will do this, they will lean on you to do it. You two(you and bank) have to come to a conclusion as to what the lot will sell for. If its 40 or 50k less than what you owe on it, dump it and apply the 11k annually to the note that is left over. Negotiate a low interest rate and favorable terms. 4% on something like this is pretty customary believe it or not. This may sound crazy but every day you wait is more money that you are pissing away. Two years will go by fast and you will be halfway home. Laurel Hill will still be Laurel Hill and you will probably be able to replace that lot for 60k or so if you really want to. I have worked out similar deals and have lots of friends that have done the same. Most banks with the exception of Whitney Bank, realize that the situation is what it is and everyone needs to work together to get out of it. I know of a situation where a gentleman settled a potential $2,000,000 deficit with a bank for 10% of that with the bank knowing of his having $1,000,000 equity in a gulf front property. They just wanted to get past it. If you are lucky, you are dealing with this kind of bank. I know it sounds crazy but if you are willing to work it out with the bank, you are in the minority and they will usually deal with you. PM me if you want more specific information but with the information that you have given, I can tell you that this is a salvageable situation. Good luck.