Posted on: 31st Dec, 2008 08:09 pm
to give the deed in lieu of foreclosure should i seek legal counsel for this or a financial advisor to help me with the process. also, if i decide to do it myself what are the steps i should take to cover my self at the end from any financial credit disaster.
carmen :roll:
carmen :roll:
Hi Carmen!
Welcome to forums!
A lender will accept a deed in lieu foreclosure if you are deficient on payments for at least a month. You can yourself negotiate with the lender regarding a deed in lieu. Write a hardship letter to the lender stating the facts as to why you are unable to pay the mortgage dues.
If the lender accepts the hardship letter and agrees to a deed in lieu foreclosure, then you will have to give away the property to the lender who will sell it in the market to recover his debts. The deficient amount resulting from the sale of the property is forgiven. But the lender will report to the IRS that the deficient amount has been forgiven and you will have to pay taxes on that amount. To know more about deed in lieu, check out the given page:
http://www.mortgagefit.com/deed-lieu.html
Feel free to ask if you have further queries.
Sussane
Welcome to forums!
A lender will accept a deed in lieu foreclosure if you are deficient on payments for at least a month. You can yourself negotiate with the lender regarding a deed in lieu. Write a hardship letter to the lender stating the facts as to why you are unable to pay the mortgage dues.
If the lender accepts the hardship letter and agrees to a deed in lieu foreclosure, then you will have to give away the property to the lender who will sell it in the market to recover his debts. The deficient amount resulting from the sale of the property is forgiven. But the lender will report to the IRS that the deficient amount has been forgiven and you will have to pay taxes on that amount. To know more about deed in lieu, check out the given page:
http://www.mortgagefit.com/deed-lieu.html
Feel free to ask if you have further queries.
Sussane