Posted on: 12th May, 2010 07:56 pm
Hello,
I have an investment property in hawaii. my renters moved out and i can no longer afford to pay $2750 a month. i've been behind with my morgtage for 1 month and need help on what options do i have. My previous renter was paying $1500 a month. I was thinking of doing Deed in Lieu. if did this, what are some of pros and cons. please let me know.
thanks
I have an investment property in hawaii. my renters moved out and i can no longer afford to pay $2750 a month. i've been behind with my morgtage for 1 month and need help on what options do i have. My previous renter was paying $1500 a month. I was thinking of doing Deed in Lieu. if did this, what are some of pros and cons. please let me know.
thanks
welcome crackerboy,
a deed in lieu of foreclosure will help you in getting rid of the property. the best part of deed in lieu of foreclosure is that the lender will not come after you for the deficient balance. however, it does have negative affects on your credit. your score would get lowered by 250 points. moreover, you would not be able to get a mortgage in the next 3-4 years. also, as a negative item, it will remain on your credit report for 7 years.
a deed in lieu of foreclosure will help you in getting rid of the property. the best part of deed in lieu of foreclosure is that the lender will not come after you for the deficient balance. however, it does have negative affects on your credit. your score would get lowered by 250 points. moreover, you would not be able to get a mortgage in the next 3-4 years. also, as a negative item, it will remain on your credit report for 7 years.
Have you tried getting a new tenant or selling the property? I would check with a local realtor first.
