Posted on: 06th Oct, 2009 02:11 pm
does the bank charge for this? do they typically put a lien on your property for the difference? what about if you have a 2nd mortgage with the same company?
welcome dkflower,
there may be certain charges which may vary from lender to lender in case of a deed in lieu of foreclosure. the deficient amount resulting from the deed in lieu of foreclosure is forgiven by the lender. the lender will not place a lien on your other properties for it. as far as the second loan is concerned, you will have to pay it off to the lender. you may even negotiate with your lender so that he gives you a payment plan to pay off the dues or forgives a portion of it.
there may be certain charges which may vary from lender to lender in case of a deed in lieu of foreclosure. the deficient amount resulting from the deed in lieu of foreclosure is forgiven by the lender. the lender will not place a lien on your other properties for it. as far as the second loan is concerned, you will have to pay it off to the lender. you may even negotiate with your lender so that he gives you a payment plan to pay off the dues or forgives a portion of it.