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Can I do a deed in lieu of foreclosure while doing bankruptcy ?

Posted on: 04th May, 2010 05:34 pm
i received an offer from my mortgage company to accept a deed in lieu foreclosure on an investment home i haven't made any payments on in over a year. the only thing is i'm in the process of paying a lawyer for chapter 7 bankruptcy. i asked my lawyer and he said to go ahead and do the deed in lieu and then do the bankruptcy. i'm a bit skeptical. the only reason i'm considering doing the dilf is because they are offering up to $2500 and i'm in a very tight situation. i guess my question is, can i legally do this without any repercussions ? thanks for any advise.
hi lepollin,

you can get rid of your property with the help of a deed in lieu of foreclosure and then file bankruptcy. as far as i know, there won't be any legal repercussions due to this. however, both a deed in lieu of foreclosure and the bankruptcy filing will have a negative affect on your credit report.

thanks
Posted on: 04th May, 2010 09:29 pm
Thanks Jameshogg. I think I will do the deed in lieu.
Posted on: 05th May, 2010 06:02 pm
That was me by the way. .I just hadn't signed in.. thanks again.
Posted on: 05th May, 2010 06:04 pm
You're most welcome! :)
Posted on: 06th May, 2010 12:00 am
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