Posted on: 12th Jan, 2011 09:48 pm
Is it better to foreclose on the prpoerty or deed in lieu? It seems that if you foreclose your credit score is less impacted. Is this true?
it is better to go for a deed in lieu of foreclosure in order to get rid of the property rather than foreclosure. in case of a deed in lieu of foreclosure, you won't have to pay the deficient balance resulting from the property sale whereas in case of foreclosure, you'll have to pay the balance dues. however, the credit affect in both the cases will be the same. you will lose 250 points in both the cases.