I'm upside down in California. I'm talking about my property, not my vertical position.

Today, my situation is the same. My property is about 50% upside down, which means that my property has lost about half its value. Or rather, the value of my property is half of the dollar amount in mortgage loans I have on it. So it feels like I'm just throwing money away when I make my mortgage payments. Should I continue to do so? Should I walk away from my property like so many people are doing? It's such a dilemma.

What made matters worse for me was that I got laid off last year - May 2008. So the security of a steady income is gone. Fortunately, I can pass as a consultant, using my skills and expertise as a start-up executive to consult start-up companies. The salary is not as much as I used to make, but at least my hours are fairly flexible.

The good thing is that I'm surviving because I can eat. If I had to choose whether to eat or pay my bill, I probably would pay my bill. So being able to eat is a good indicator that I can pay my bills.

All kidding aside, I have had to batten down the hatches to be in survival model. I've paid off accounts to reduce the recurring monthly payments. Now there are other things to think about, such as paying taxes on my own. I also wonder if I'll be able to afford future property taxes. If I had to do it, I'd rather not pay the property taxes and let the county take possession so that they can auction it off and get the money to put in their coffers.

So I feel like I'm stuck. What should I do? Should I contact Clark Howard at Headline News? I feel like I'm stuck, AND I feel like I'm starting over in terms of saving for my retirement. I honestly thought that investing in California real estate was a very safe bet. Many people thought the same thing, not only in California but also in many other states.

I just want to make sure that people understand my situation and not think I'm greedy or stupid. I was making what I thought were safe, conservative decisions with respect to real estate. I did high risk investment in the financial market, and I was OK with that because I had the real estate as a backup. Then the housing market collapsed like a house of cards.

I come back to the same question again. What should I do? Actually, it's "What should I do next?"