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Yes, it's called a Deed-In-Lieu of foreclosure. You agree to walk away from the home and deed the property back to the mortgage company. This will still have a negative impact on your credit, but not as bad as a foreclosure. Most of the time, a Deed-In-Lieu is a cheaper option for the mortgage company as well because of all of the additional attorney fees/costs associated with the foreclosure process. However, a lot of mortgage companies still have rather restrictive guidelines for accepting a Deed-In-Lieu, some of these restrictions may require the mortgage has already been delinquent for some time, and that the property has been listed for sale at fair market value for a minimum of time (usually 90 days). Because the mortgage industry is struggling, these guidelines are ever changing and often can be bypassed. Call your mortgage company to find out what their specific guidelines are for accepting a Deed-In-Lieu. If you haven't already put your home up for sale, it would be a good place to start. If you can get a reasonable offer, even if it's less than the mortgage, your mortgage company may accept a short sale, which will be better for your credit and will also save the mortgage company money.
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What is the difference between a foreclosure and short sale?
A foreclosure is the surrender of the property to the lien holder for nonpayment of the debt. A short sale is the sale of the property before the completion of the foreclosure in an attempt by the home buyer and the lender to avoid foreclosure proceedings.
Is foreclosure different from surrendering a home?
Yes. Foreclosure includes a forced sale, usually at auction, which runs up the legal expenses and other costs in a hurry (survey, appraisal, publication, auctioneer's fees, etc). A surrender is much less complicated.
Can you rent out your home while home is in foreclosure?
Yes you can, but in most states you have to tell the potential tenant about this foreclosure.
What is a pre foreclosure home?
A pre-foreclosure home is a home in which the owner is in immediate danger of losing their home, possibly due to unpaid loans or mortgages, but has not lost it yet.
When in strict foreclosure in Ct how long before you have to get out of home?
I will be a hearing on Tuesday, 10/23 for a Strict Foreclosure. Once granted, how long will I have to get out of the home?
What is the difference between a foreclosure and short sale?
A foreclosure is the surrender of the property to the lien holder for nonpayment of the debt. A short sale is the sale of the property before the completion of the foreclosure in an attempt by the home buyer and the lender to avoid foreclosure proceedings.
What happens if you surrender your home?
If you mean by surrender you are in foreclosure, the answer depends on how far along in the process you are and how much equity you have in the property. The short answer is you will still have damage to your credit rating and a foreclosure on your record. You should call your lender immediately to try to work out alternate arrangements. They generally do not want to foreclose and will try to work with you.
Is foreclosure different from surrendering a home?
Yes. Foreclosure includes a forced sale, usually at auction, which runs up the legal expenses and other costs in a hurry (survey, appraisal, publication, auctioneer's fees, etc). A surrender is much less complicated.
Can you surrender your house to stop foreclosure proceeding?
Not likely outside of bankruptcy. It is called a "deed in lieu of foreclosure" and few lenders would be willig to do that unless the value of the property was close to what is owed. In a c. 7 or a c. 13, you can surrender the house.
Can you rent out your home while home is in foreclosure?
Yes you can, but in most states you have to tell the potential tenant about this foreclosure.
Is it possible to surrender a home that is not in foreclosure?
You should speak to the lender about giving a "deed in lieu of foreclosure". It does less damage to your credit record than a foreclosure. You should ask about the bank's policy if there is a deficiency between the present value of the property and the amount of the loan. You should also speak to a tax advisor to determine if there will be tax consequences when you file your tax return for the year.
Can a second mortgage put your home in foreclosure?
Yes, any unpaid mortgage can put your home in jeopardy of foreclosure.
In California what is the time limit for moving out of a foreclosure?
what is the time for foreclosure on a home in california?
If your renting a home in foreclosure when do you stop paying rent?
Not until there is a foreclosure sale.
Is there such a thing as a voluntary surrender of mortgaged property without foreclosure?
Yes. In Massachusetts and other states there is a procedure whereby the mortgagor gives the bank a deed in lieu of foreclosure. You should discuss a "deed in lieu of foreclosure" with the mortgage department of your lender.
You filed chap 7 bankruptcy 6 years ago and have been making payments can you give back the home to the lien holder without going through foreclosure?
You can give back the home to the lien holder without going through foreclosure. You just need to make arrangements with the lender. It is not smart at this point to surrender your house after so many payments.
What is a pre foreclosure home?
A pre-foreclosure home is a home in which the owner is in immediate danger of losing their home, possibly due to unpaid loans or mortgages, but has not lost it yet.
