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If you do not believe you will become employed in the near future or don't wish to keep your existing home then a short sale would be the the second best option, allowing your credit to heal faster than a foreclosure, so when things turn around for you can get back on your feet.
Good Luck and hang in there.
A short sale is better for you if you plan to purchase another home some time in the relatively near future. Depending upon the lender, a short sale can be reported on the credit reports in a manner not as derogatory as a foreclosure does. Therefore, your ability to purchase a home again is sooner than if you were to simply foreclose.
Hope that helps! Good luck to you and it will all work out for you. Keep your focus on the finish line and remember that you can only do your best, much of the whole lender process and decision making is truly out of your control.
Diane Wheatley, Broker
If you would like to see if your home is a possible candidate for a short sale you can reference my website at http://www.homesinfresno.com/selling-short-sales.asp
I have specialized in Fresno, California real estate for over 20 years and am one of the top selling short sale agents in the area.