Can I quit claim my property to the mortgage company?

hi angie,

welcome in this forum.

you can quitclaim the property to your lender if they accept it. this is called deed in lieu of foreclosure. it will affect your credit but surely less than foreclosure. deed in lieu of foreclosure will drop your 80 to 100 points and in case of foreclosure, 200 to 300 points will be dropped. but generally the lenders do not accept the deed in lieu of foreclosure easily. if you have no way out and cannot pay the mortgage in any way, then only the lender may accept the deed in lieu of foreclosure. there is an article regarding deed in lieu of foreclosure. you can check it out- http://www.mortgagefit.com/deed-lieu.html

feel free to ask if you have any more questions.

thanks,
larry

Hello Angie,

You may quit claim the property to anyone but the mortgage still remains in your name. The lender will not accept a quit claim to get the ownership of the property as you are still obligated to pay the debt.

In such cases, you may ask the lender for a deed in lieu of foreclosure, as Larry has already stated that. With a deed in lieu you will hand over the property to your lender and you are also released from the financial liabilities.

my lender says they can't do a deed in lieu of foreclosure because they already have a sale date. so if I sign a quitclaim deed to them and file it before the sale date will this work

Welcome lmaude,

The property will be foreclosed and it will have a negative affect on you though you sign a quitclaim deed and transfer the property to the lender. You should once again try and negotiate with your lender so that he can accept your request.