Posted on: 17th Jun, 2008 06:07 am
we are planning on doing a deed-in-leau- of-foreclosure on our home that we have had for sale for ten months. can we do a quick claim deed to my daudgter on some other property we own outright in order to protect it from being seized by the mortage bank if they have to sell our home below the payoff amount and sue us for the defficency and get a judgement against us for the remaining balance on the mortage loan. we live in the state of arkansas where they alow a bank to sue for a deffenicy if house is sold below payoff amount.
Hi loweann.
Welcome to the forum.
I don't think you should quitclaim. It may be considered a fraudulent conveyance if you quitclaim it just before filing the deed in lieu.
BTW if the lender accepts the deed in lieu he will not come after you for the deficiency judgment. You can take about the deficiency judgment with the lender and get it clear.
Feel free to ask if you have any further questions.
Best of luck,
Larry
Welcome to the forum.
I don't think you should quitclaim. It may be considered a fraudulent conveyance if you quitclaim it just before filing the deed in lieu.
BTW if the lender accepts the deed in lieu he will not come after you for the deficiency judgment. You can take about the deficiency judgment with the lender and get it clear.
Feel free to ask if you have any further questions.
Best of luck,
Larry