Posted on: 09th Jun, 2009 08:00 pm
We reside in Minnesota. Three years ago we’re misled into buying a second property (Condo-Hotel) in Florida. The mortgagee is too high and we can’t afford to keep it any more. Moreover, the value of the property is lower than what we owe. We need advise on how to get out with the minimum personal loss. Does the mortgage company allow transferring the property into an LLC, so to protect our personal residence? If so, how can be go about doing it?
hi joyeriabella,
transferring the property to an llc now can be considered as a fraud and you may be penalized for it. if you want to sell off the property, you can apply for a short sale or a deed in lieu of foreclosure.
a short sale will lower your credit score by 75-100 points but you may be liable for the deficient amount. the lender has the right to charge the deficient amount from you. in case of a deed in lieu, your deficient amount will be forgiven but your credit score can get lowered by 250 points.
transferring the property to an llc now can be considered as a fraud and you may be penalized for it. if you want to sell off the property, you can apply for a short sale or a deed in lieu of foreclosure.
a short sale will lower your credit score by 75-100 points but you may be liable for the deficient amount. the lender has the right to charge the deficient amount from you. in case of a deed in lieu, your deficient amount will be forgiven but your credit score can get lowered by 250 points.
Agree with adonis