Posted on: 07th Oct, 2008 02:44 pm
The last payment on my mortgage was back in January and my lender has filed for foreclosure. But they offered to let me do a short sale or a deed in lieu. But i'm also going to be filing for CH. 7 very soon and my attorney said i could put the house in there and avoid the foreclosure.
So my question is which is the best bet to go for? Which would have the least impact on my credit? And which would allow me to stay in the house the longest, as i'm still living here and don't have anywhere else to go.
So my question is which is the best bet to go for? Which would have the least impact on my credit? And which would allow me to stay in the house the longest, as i'm still living here and don't have anywhere else to go.
Hi flybye!
A short sale or a deed in lieu is always better than any kind of foreclosure or bankruptcy. This will have a less impact on your credit score also. However as you have said that you want to stay in the property, I think filing Chapter 13 will be a better option for you. You will be given a repayment scheme through which you will be able to pay back the debts and also stay in the property. In you go for short sale or a deed in lieu, you will have to give away the house.
Thanks,
Jerry
A short sale or a deed in lieu is always better than any kind of foreclosure or bankruptcy. This will have a less impact on your credit score also. However as you have said that you want to stay in the property, I think filing Chapter 13 will be a better option for you. You will be given a repayment scheme through which you will be able to pay back the debts and also stay in the property. In you go for short sale or a deed in lieu, you will have to give away the house.
Thanks,
Jerry