Posted on: 25th Feb, 2010 09:05 pm
my mom had a reverse mortgage. when she died, she owed more than what the house can sell for in this market.
we are asking for a deed in lieu of foreclosure because we can't afford to buy it, and we won't get a dime if it sells. is that the way to go? will it affect our credit if the house was left to us in her will, but the reverse mortgage people really own it?
we are asking for a deed in lieu of foreclosure because we can't afford to buy it, and we won't get a dime if it sells. is that the way to go? will it affect our credit if the house was left to us in her will, but the reverse mortgage people really own it?
Hi vici!
Welcome to forums!
Though the property has been left to you in your mother's will, the reverse mortgage is in your mother's name. If the lender forecloses your property or goes for a deed in lieu, it won't affect your credit score. Also, the lender will not be able to sue you for the balance amount after the foreclosure auction.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
Though the property has been left to you in your mother's will, the reverse mortgage is in your mother's name. If the lender forecloses your property or goes for a deed in lieu, it won't affect your credit score. Also, the lender will not be able to sue you for the balance amount after the foreclosure auction.
Feel free to ask if you've further queries.
Sussane
>>We are asking for a deed in lieu of foreclosure because we can't afford to buy it
Just tell the Lender you're not going to keep the house and they can foreclose on it - you don't need to do anything else. Call the Customer Service Department and let them know - their phone number is on the monthly mortgage statement your Mother received. It won't impact you or your credit in any manner.
Just tell the Lender you're not going to keep the house and they can foreclose on it - you don't need to do anything else. Call the Customer Service Department and let them know - their phone number is on the monthly mortgage statement your Mother received. It won't impact you or your credit in any manner.
