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short sale vs deed in lieu

Posted on: 30th Jan, 2009 02:40 pm
I have an investment condo in San Diego. I bought for $512 and it's worth $272K. I just spent 30 min with citibank ask for the process of Deed in Lieu and they said that is absolutely the last thing that they would do and only if you listed the property for 60-90 days. They basically said I can't do a DIL? is that true in CA?
Hi catalina!

Welcome to forums!

I don't think there is any such rule which states that you will not be able to do a deed in lieu in California. I think the lender wants you to first try for a short sale. If a short sale is not possible for you, then you may try for a deed in lieu. But you should note that a lender will agree for a short sale or a deed in lieu only if you are delinquent on your payments for at least a month. If you are not past due, then the lenders will not be ready to ready to consider the options of short sale or deed in lieu.

Feel free to ask if you have further queries.

Sussane
Posted on: 30th Jan, 2009 07:38 pm
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