Hello Bobby,

A lot of builders are in your exact situation.  At some point it has to be about cutting your losses.  You cannot continue to go further into the hole by draining your savings to stay current on some lots that you are likely going to lose to foreclosure anyway.

You have had these lots for two years.  I am assuming the likely hood of you selling these lots for what you owe anytime soon is about zero.  So, your business does not have the adequate cash flow to hold on to these lots without subsidizing them with your family's security (savings account).  That should probably stop right away.

I can't really recommend a specific strategy without doing a financial analysis to point you in the right direction.  However, I would seriously start looking for sellers at any price and then start talking with your bank about short selling.  If you can get it done, it will be much better on your credit than an actual foreclosure. 

I recommend working with a real estate agent that is an expert in short sales and knows how to do them.  Also you should be working with an agent that has experience with builders.  Selling an empty lot is very different than selling a home, especially when you will likely be trying to find another builder that would want these lots at a discount.

As Kenny Rogers says,

You got to know when to hold em and know when to fold em.  Know when to walk away and know when to run. 

Based on the limited info you shared, my gut says do not put any more of your savings into this investement unless you have a high likely hood of being able to sell quickly for a profit.

Regarding your credit.  It sounds like financial circumstances are going to force your hand very soon regardless of what you would like to do.  It will probably be easier for you to rebuild your credit than rebuild your savings account.  In tough times cash is king.  Your credit score is not likely to put food on the table and a roof over your head in this market.