There's a rumbling in Las Vegas and it's growing louder every day.

It's an uprising of distressed homeowners who feel betrayed by their government and frustrated by the financial system.

Some of them are so far "under water," owing more than their home is worth, they can't see the light of day.

"It's surprising that more homeowners haven't defaulted," Tisha Black-Chernine of Black Lobello law firm in Las Vegas said. "They're not walking because of the desire to avoid shame or overblown fears of harm to credit ratings. I think we're at the tipping point for a lot of people."

Bill and Lynn Jerbis reached that point six months ago. They haven't paid their $2,400 monthly mortgage payment since October after failing to get a loan modification. Both have taken cuts in income. Meanwhile,the value of their home has dropped from $429,000 to about $142,000.

"We can't afford to pay this and live," Bill Jerbis said. "I would just be using the savings I had built up. We are not leaving, unless they physically come take us out of the home."

Defaulting on a home that's lost 50 percent of its value may seem like the smart thing to do these days, but borrowers need to be aware of financial consequences.

Asa recourse state, Nevada leaves the door open for mortgage lenders and collection agencies to pursue homeowners with deficiency judgments, going after assets and income years after a foreclosure or short sale,or bank-approved sale for less than the mortgage owed.

Homeowners who feel relieved to have the burden of debt lifted may be surprised to receive a letter from a collection agency two or three years down the road demanding payment on their old mortgage.

While homeowners may not have jobs or assets today, time is on the lender's side.

"I hear (lender) attorneys say they'll put a clock of one or two years on the debt, so the person can get a new job and back on their feet. Then they'll start wage garnishment," bankruptcy attorney Philip Goldsteinsaid. "It's a very cruel economy right now."
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