I am not behind on payments but since i lost my higher paying job and money is tight I need to get out of my loan, I am in an interest only loan, which the payments will go higher, and I do not have money or equity to refinance. I feel this is the only way to get out fo this situation beisdes foreclosure. Also does Deed-In-Lieu affect your credit score?
2007-07-26 03:48:10 · 7 answers · asked by JB 2 in Business & Finance ➔ Renting & Real Estate
you are way ahead of yourself at this point, the lender is in the driving seat at this point, they are under no obligation to accept a deed-in-lieu of foreclosure, many factors will determine if the lender will play
you need to talk to your lender, remember banks are in the business to loose monies because people within the lending department get fired,
the new hot words are short sale etc, but depending on many factors most of the time the bank will rather go to auction then short sale
2007-07-26 04:24:23 · answer #1 · answered by goz1111 7 · 0⤊ 0⤋
there's the deed-in-lieu of foreclosure. This is where the borrower voluntarily gives over the deed to the lender. It's about the same situation as the preforeclosure and is considered a last resort since the lender is now going to have to sell the house themselves.
2007-07-29 06:47:10 · answer #2 · answered by Robin L 3 · 0⤊ 0⤋
It really ends up being the same as foreclosure when it comes to credit, It may stop the late payments on your credit report much sooner once the loan goes delinquent. You will need to talk to your loan servicer and discuss options with them, you may also want to look at a short sale and sell your property on the market. Any way you go it will effect your credit score. Can you rent your property out?
2007-07-26 03:56:57 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Before you do anything - call your lender and explain your situation. Most mortgage companies will work with you to find a solution or instead of doing the deed (which will affect your credit) put your house up for sale and try doing a short sale - it will save your credit plus won't hurt you when you go to buy a house again in the future.
2007-07-26 04:52:36 · answer #4 · answered by danczar1 2 · 0⤊ 0⤋
A deed in lieu will affect your credit score to a varying extent, depending on whether or not you are able to make payments on any resulting deficiency in the sale.
A contract for DIL will be provided by the lender involved. They are not going to accept your version of a contract.
2007-07-26 03:53:19 · answer #5 · answered by acermill 7 · 0⤊ 0⤋
I found how-to-buy-foreclosure.dotcom... and they had some great information. I actually bought the ebook package, learned a lot and am working on my first deal highly recommended by me. Anyone else check out this site? I enjoy ebooks cuz I can read them on my computer and everyone I get gives me a little nugget of information that is going to help me succeed. . This sites info really gave me everything I need to know... I think I can finally stop wasting my hard earned cake on seminars, books, ebooks, audio tapes on how to do foreclosure and pre-foreclosures. But check it out for yourself, hopefully it helps you like it did me.
Peace be with you
2007-07-29 05:28:11 · answer #6 · answered by Eric S 1 · 0⤊ 0⤋
what state r u from and what is the name of your mortgage company.
Mark
you need to contact your lender and explain to them what is going on in your life. DIL wil have an effect on your credit, but not as bad of a possible foreclose.
2007-07-26 04:01:47 · answer #7 · answered by Anonymous · 0⤊ 0⤋