Should I let me house go forclosure?

I bought my townhome in 2006, and It was my first time buying it. By then, I let my realtor decide everything for me, since she was a friend. When I came to sign the closing, found out I was on 10 yrs Interest only, and first 5 yrs ARMS, after that, adjustable. I moved back home and let the house for rent., but since they put me on 2 mortgages to be qualify for the loan, Im even more stuck..The house is now $50,000 below the market price. I called the bank and told them I cant afford it anymore, they wouldnt help and work with me. Every month, I have to pay $500 or more for the difference including home owner and 2nd mortgage, and at the end of the year, I had to pay for renter's income tax. I can't afford it anymore, b/c I have to pay rent at my apartment too.. Please anyone knows about this, please give me advices on what I should do, I don't mind losing my credit for couple yrs. They said it only take 3 1/2 yrs now, instead of 7 yrs.. I don't know wat to do, and I don't want to throw my money into the river anymore..HELP HELP HELP