What if you want to move out of your house and let the bank take it?

Question

My mother in law needs to move into an assissted living apt. The mortgage is more than the value. Credit is not an issue. What do we do?

Answer 1

The first thing that you need to do is contact the assisted living complex people. It is possible that you could jeopradise her Medicaid status by following the path you suggest. The people at the assisted living deal with problems like this all the time. Get professional assistance. NOW.pp

Answer 2

thats is sad the mortgage is more than the value. if the bank takes it they can sue her for what they don;t get. that has led people to file bankuptsy. have you tryed calling companys that purchase home from people, i really don;t think they can help because they like to see a little equity. Have you tryed to put in on the market for what she owes. Doesn;t matter value. if a person will pay that price. it only become a problem when the person trying to buy it doesn;t have money down to cover the "over the value" part.

take into consideration selling it and then taking a personal ;loan for the overage amount. but you would wan tto make sure you were preappoved

Answer 3

Get an attorney to review the mortgage. I have been told that in some instances, you can deed the property back to the bank and there is nothing they can do about it. That would certainly save the credit!

Answer 4

you may need to negotiate with the bank and do a short sale.......sell for an agreed amount at the actual resale value of the home.........

Foreclosure is very expensive for the bank and they may not even be able to sell it at auction which will lead to more costs (holding costs--taxes, etc)

banks are in the lending business, not real estate........call the bank and negotiate for a short sales.

Answer 5

Move and let them have it. They will take it and resell it. It won't look good on the credit but you said that wasn't an issue.