defaulting on a mortgage

[Danny Foshizzle]

hi everyone, new to the forum here.

let's say i have entered into a mortgage and due to economic conditions, i will be defaulting on the mortgage. what effect does the amount of equity that i've put in (paid down) and the equity that came from appreciation (hypothetical) have on my situation?

let's say i've paid off 75% of the mortgage balance. why should i not enter into a reverse mortgage and get back that net portion as a lump sum payout since the bank will foreclose on my property anyways?

Note: these are both hypothetical situation. i just want to get a better understanding of how it works....thanks