Posted on: 05th Nov, 2009 12:31 pm
I am somewhat confused as to which is the more advantagious to file. I have a 1st and 2nd heloc. My Condo has been on the market for 4 years and 6 realtors later with no offers. My credit score is 821.
Which would be the better way to go in order to take the loss and move on with my life
Which would be the better way to go in order to take the loss and move on with my life
Welcome lightfootlouie,
In my opinion, it would be a idea to go for a deed in lieu of foreclosure. It will stay on your credit report for 7 years and would reduce your credit by 250 points. A bankruptcy would reduce your credit score by 200-250 points but would stay on your credit report for 10 years.
In a deed in lieu, you won't be liable to pay off the deficient amount to the first lender. But you will have to negotiate with the second lender in order to reduce your dues so that you can pay it off.
In my opinion, it would be a idea to go for a deed in lieu of foreclosure. It will stay on your credit report for 7 years and would reduce your credit by 250 points. A bankruptcy would reduce your credit score by 200-250 points but would stay on your credit report for 10 years.
In a deed in lieu, you won't be liable to pay off the deficient amount to the first lender. But you will have to negotiate with the second lender in order to reduce your dues so that you can pay it off.
Hi lightfootlouie,
Given the lasting effects on your credit, consulting an attorney would be a wise option.
Thanks,
Frank Aaron
Processing Agent
PSG Attorneys
[Promotional text deleted as per forum rules. Thanks.]
Given the lasting effects on your credit, consulting an attorney would be a wise option.
Thanks,
Frank Aaron
Processing Agent
PSG Attorneys
[Promotional text deleted as per forum rules. Thanks.]