Posted on: 21st Feb, 2009 11:49 am
[size=9:69c43dc426][/size:69c43dc426][color=DarkBlue:69c43dc426][/color:69c43dc426][font=Georgia:69c43dc426][/font:69c43dc426]
My husband was laid off 5 months ago. We've used up our savings keeping up the bills, and it is gone. We simply can not pay with what we don't have. Our house has been on the market for four months with no results. I was thinking we should just turn over our deed for the dil option, but it seems to hurt your credit and such just as much, so exactly what is the difference and why is dil better than forclosure? Also wondering is this a matter of house only and they just make you move or can they take everything you own?
My husband was laid off 5 months ago. We've used up our savings keeping up the bills, and it is gone. We simply can not pay with what we don't have. Our house has been on the market for four months with no results. I was thinking we should just turn over our deed for the dil option, but it seems to hurt your credit and such just as much, so exactly what is the difference and why is dil better than forclosure? Also wondering is this a matter of house only and they just make you move or can they take everything you own?
Welcome Guest,
A deed in lieu and a foreclosure will lower your credit by 250 points. But the difference lies in the fact that in case of a foreclosure, you will have to pay the deficient amount resulting from the sale of the property but in deed in lieu, the deficient amount is forgiven. But you should also note that you will have to pay taxes on the forgiven amount.
To know more about deed in lieu, check out the following link:
http://www.mortgagefit.com/deed-lieu.html
A deed in lieu and a foreclosure will lower your credit by 250 points. But the difference lies in the fact that in case of a foreclosure, you will have to pay the deficient amount resulting from the sale of the property but in deed in lieu, the deficient amount is forgiven. But you should also note that you will have to pay taxes on the forgiven amount.
To know more about deed in lieu, check out the following link:
http://www.mortgagefit.com/deed-lieu.html
the first thing to do is be in contact with your mortgage lender. every lender has a loss mitigation department (or a similarly-named department).
i know it feels like you're the only one in this jam, but there are tons of people in similar straits, and lenders are well aware of these issues. they've set up their departments to be able to work with people to try to benefit all parties.
if you feel the need for an advocate to assist you in speaking with your lender, please use a hud-approved counselor. you can find one by checking on the hud website - hud.gov.
i will warn you that anyone who calls your home and insists on being able to help you out, for an upfront fee, is a scam artist and you should hang up your phone immediately. please avoid those sorts of people at all costs.
deal with your lender, use an approved counselor if you wish, find a real estate lawyer who can help you, or even a trusted lender who you may have a relationship with. just be very careful - there are a lot of people out there looking only to make a fast buck.
i know it feels like you're the only one in this jam, but there are tons of people in similar straits, and lenders are well aware of these issues. they've set up their departments to be able to work with people to try to benefit all parties.
if you feel the need for an advocate to assist you in speaking with your lender, please use a hud-approved counselor. you can find one by checking on the hud website - hud.gov.
i will warn you that anyone who calls your home and insists on being able to help you out, for an upfront fee, is a scam artist and you should hang up your phone immediately. please avoid those sorts of people at all costs.
deal with your lender, use an approved counselor if you wish, find a real estate lawyer who can help you, or even a trusted lender who you may have a relationship with. just be very careful - there are a lot of people out there looking only to make a fast buck.
