We live in Calif. And purchased a house late 2006, for $475,000. We have a $374,000 first and a $94,000 second. The current value of the house is approx. maybe $300,000. We can't sell for what we owe and are thinking of just walking away. We are current on our payments, but things are getting tough. Does anyone know if we were to walk away, if the 1st foreclosed, would the 2nd try to come back and make us pay the 2nd? Please help!!

OK, you owe a total of 468000 if my math is right. Well if you are correct on the value of your home being 300,000 then at a foreclosure auction one of two things will happen, it will go to the fist lender for the value of the loan, or they will sell it for as much as they can and just let it go.
So it is possible to sell even less than 300,000.

and of course there will be more costs, foreclosure costs, lawyer fees, sell fees and more. So expect another 20 to 30 thousand most likely be added b all sorts of other fees before it is foreclosed.

And yes they will then come after you for the balance that is owed.