Posted on: 15th Aug, 2010 07:20 pm
We owe 128 1/2 and the house is worth 121. Can it be sold in todays economic situation? We'd really just prefer walking away even without out of pocket to us.
Hi stuck,
You can list the property in the market in order to sell it off. Once you sell off the property, you'll have to pay off the mortgage in full. If you walkaway from the property, the lender will foreclose it which will have a negative impact on your credit report. Also, you would be liable for paying the deficient balance resulting from the property sale. It'll lower your credit score by 250 points.
If you want to get rid of the property, then you can apply for a deed in lieu of foreclosure. Though the credit affects would be the same, you won't be liable for paying the balance amount as it would be forgiven by the lender.
Thanks,
Jerry
You can list the property in the market in order to sell it off. Once you sell off the property, you'll have to pay off the mortgage in full. If you walkaway from the property, the lender will foreclose it which will have a negative impact on your credit report. Also, you would be liable for paying the deficient balance resulting from the property sale. It'll lower your credit score by 250 points.
If you want to get rid of the property, then you can apply for a deed in lieu of foreclosure. Though the credit affects would be the same, you won't be liable for paying the balance amount as it would be forgiven by the lender.
Thanks,
Jerry
Thanks Jerry