I am a home owner and I am having difficulty with making my now mortgage payment. The homes in my neighborhood is going for a lot less and many have gone into foreclosure. I can not afford my home now. I was considering bankruptcy or allowing my home to go into foreclosure. What would work out best credit wise, since I will have to move into an apartment and they check credit ratings as well.

Both will have a negative affect on your credit. I'm not sure which would be worse. The advantage of bankruptcy is that you can possibly keep the home.

It really depends on your total financial picture..