My husband has not been working much. We are almost 3 months behind on our mortgage. We have tried to sell our house recently and found out that it is worth less than we owe on it. We have had a lot of problems since we moved here. My question is- should we do a Deed in Lieu of Foreclosure or should my husband file bankruptcy? He has a 2nd and 3rd mortgage on the house as well. I’m assuming that if we do a Deed in Lieu that they will auction our house and we will still owe? And if we do- then he should file? He has a FHA loan- I’m not sure if that makes a difference. Serious answers please. Thanks!
I guess I forgot to add that we actually don’t want this house. We can’t sell it- with 3 mortgages and it not being worth that much- we would not be able to pay the agent. We need to get out of this.
Athanas
What is the difference of Deed in Lieu vs. Foreclosure, if I have to pay a money difference in the long run after the house has been auctioned??
erma Cone
I have 4 garbage “investment” properties that I found out were gotten through fraudulent means by the broker - Per the local authorities, it wa fraud - this is fact so don’t ask how I know.
I’ve listed them 3 times over 2 years with realtors and also secured short sale offers from an investor - they were rejected.
I’d like to deed in lieu or short sale if I ever get another offer but they don’t want to do it. I have my home in and two legitimate properties in an adjacent county.
So can they file liens on my property in another county if they get a deficiency judgment? These are garbage, I owe say 56-62k on them and could get $1K - $20k if I was real lucky so whats the chance of the bank going after me for these amounts with all the stuff going on?
THANK YOU!
sheryl Hailey
That saves me about one hundred dollars. Am I at the mercy of the lender?
Champion
I lost my job this past July 08. In Sept 08 My husband and I decided to do a loan modification for 2 home loans- one we currently live in and one we have as a rental.
A loan specialist told us this would take a 3-4 months and that we had to be behind in our loans.Today 12/29 I recd to letters for both homes stating “Notice of Default and election to sell under deed of trust” My husband went to speak with people handling our Loan Mod. They stated this was second stage in the process- we are now 4 months behind. When my husband was in the office, he noticed that we were denied the 1st loan modification, asked about it, they stated that they are pushing to try and get approval on a second request.
We are not sure what do at this point, we are on the verge of losing both homes soon.
Please advice….We are not sure on whether to pull out get some of our money back and get caught up on at-least one home and lose the other or wait this out. However we risk both our homes being taken away if we don’t have an answer soon. What are the chances of us getting approved the second time around? Is the loan specialist giving us the run-around? They keep telling us that the delay is that they will be changes in 2009/and Obama in office, is this bull-crap? Any advice would be greatly appreciated.
Champion
What happens when u modify a loan after it was discharged in BK?
I will now be legally responsible for the loan?
Will it show on my credit report again?
Allwood
I signed a deed in lieu of disclosure on a time share that I had. It’s showing as repossessed/foreclosed on a credit report, and it’s affecting my ability to get a mortgage on a new home. Is there anything I can do?
earnestine Eastham
Our house is going in to foreclosure and we are trying to get a loan modification. My husband found out he is likely to lose his job next month. Will this affect getting a loan modification?
Ausman
I am going to be filing for divorce, we bought a home 9 months ago. Homes arent selling as quick as they were and have not gained equity. Need to get out of the mortgage because of divorce, someone had suggested doing a “deed in lieu of forclosure” What does this mean? What happens? Whats the difference between this and just a “forclosure”?
Baker
We own two homes, one has a mortgage of $1,200/month and we purchased it 9 months ago before the housing crisis so it is now worth less than we owe. The other is in my husband’s name only from before our marriage and the mortgage is only $300/month (yes, three HUNDRED) and we owe only $15,000 on it total.
The bigger mortgage is in default (we are behind 2 months) and the smaller one is current. Both us us have been forced into job changes that have both of us still working full time but making significantly less than we were before. There is no way we can continue paying our mortgage on the bigger home, which is our primary residence. There is no sign our financial situation will improve anytime soon. We are fine with moving into the smaller one and letting the big one go.
So if we have a voluntary foreclosure or deed-in-lieu of foreclosure, can they go after our other home so we lose both and end up homeless since the value of the property is less than what we owe?
Stephen, that makes no sense. We already have loans we can’t pay, why the hell would we take out another one.
Also…gee, don’t you think that if we could make more money we WOULD? I am working full time and my husband is working 13-hour-days six days a week at two different jobs and we STILL aren’t making ends meet. The only solution we have is to get rid of the larger home and we are okay with that, we just don’t want to lose our other one too so we don’t have anywhere to live, especially since the mortgage on it is less than we could ever find a rental for.
Lansberry
