Posted on: 05th Aug, 2009 11:58 pm
If I choose to do a deed in lieu rather than a short sale will my second home (which was left to me by my brother two years ago as an inheritence) be subject to a lien by the lender? Is there some type of protection against this. And is bancrutpcy a final option? I have tried for months to work with the bank for a modification and now I have a real estate agent who is suggesting putting it on the market, but I have to do what is best for me. I don't want to lose the home that my brother left to me.
If you go for a deed in lieu foreclosure, the lender will forgive the deficient amount resulting from the sale of the property. In such a situation, the lender will not place lien on your other property. So you will not have to worry about the property you inherited from your brother.