Home is worth less than the market value by ~$100K? I can not afford the payment of >$3K ? Also the city taxes has gone up a lot, like $20K/year for a $500K home! Can city come after me for taxes after it is foreclosed?
Lawsuit / Dispute Attorney
Taxes are the responsibility of the owner. They will be pro rated based on the days you owned and the days the bank owned once foreclosure happens.
Bank can come after you after the foreclosure for any amount you still owe on the mortgage that is not covered by the property current value.
These are some pretty basics so you'd better get a lawyer if you are in need of advise on this pending foreclosure. There may be options for you.