Posted on: 28th Feb, 2009 08:45 am
i can't afford the mortgage payments and i plan to go out of the u.s and live abroad. what is the right way to close up all liabilities? i have a first and second mortgage, and my house is worth less than the loan. i don't care about my credit score much at this point. it used to be a perfect score, but since i won't be living here for a very long time, it won't make any different.
Hi shsnathe,
If your credit score is of no importance to you, then you can let the property go into foreclosure. But you should remeber that you will still be liable for the deficient amount resulting from the sale of the property. The second lender will have the right to claim his dues from you.
As you are leaving the country, you can apply for a deed in lieu with your lender. The first lender may accept it. As far as the second lender is concerned, he can still demand the deficient amount from you or may charge off the loan to a collection agency.
Thanks
If your credit score is of no importance to you, then you can let the property go into foreclosure. But you should remeber that you will still be liable for the deficient amount resulting from the sale of the property. The second lender will have the right to claim his dues from you.
As you are leaving the country, you can apply for a deed in lieu with your lender. The first lender may accept it. As far as the second lender is concerned, he can still demand the deficient amount from you or may charge off the loan to a collection agency.
Thanks