Posted on: 03rd Aug, 2009 09:11 am
i have a rental with a first and 2nd mortgage. i am losing money on it every month and the renter cannot get financing. i am so under water on this house, will never sell it for what is owed and am sick of dealing with the house and the hassles of it. instead of foreclosure. i want to do a quit claim deed and deed in lieu of foreclosure to mininize the banks losses and save me from the embarrassment and humilation of foreclosure. how does the process work? can i do this myself or do i need an attorney to do this for me?
thanks in advance
thanks in advance
Hi doodle,
You'll have to write a hardship letter to the lender and apply for a deed in lieu of foreclosure. You should explain your financial situation to the lender and request for a deed in lieu. If the lender accepts your request, then he would tell you what steps you need to take.
In this process, the lender would sell off the property and try to recover his dues. If there is a deficient amount resulting from the sale of the property, then it would be forgiven by the lender. Your credit score will get reduced by 200-250 points in this process but you won't be liable for the deficient amount resulting from the sale of the property.
Thanks
You'll have to write a hardship letter to the lender and apply for a deed in lieu of foreclosure. You should explain your financial situation to the lender and request for a deed in lieu. If the lender accepts your request, then he would tell you what steps you need to take.
In this process, the lender would sell off the property and try to recover his dues. If there is a deficient amount resulting from the sale of the property, then it would be forgiven by the lender. Your credit score will get reduced by 200-250 points in this process but you won't be liable for the deficient amount resulting from the sale of the property.
Thanks