Compare Mortgage Quotes

ae6nn · Joined: 06 Sep 2010 Posts: 2 1.63 Dollars($)

I have a rental with positive equity, negative cashflow potentially endangering my small reserve fund and possible even my own home (same lender). Loan is a recource loan.
A helpful answer suggested I attempt to convince the bank to give me a "deed in lieu of foreclosure". Why can't I just send them the keys? thanks

smithsussane · Posted: Wed Sep 08, 2010 8:31 pm Post subject:

Hi ae6nn!

Welcome to forums!

If you just send the keys to the lender, then he would foreclose the property. As your loan is a recourse one, the lender will be able to come after you for the deficient balance resulting from the property sale. However, in case of a deed in lieu of foreclosure, you won't be liable for paying the balance dues resulting from the property sale.

Feel free to ask if you've further queries.

Sussane

Guest

I understand that since I have a reserve and they own my other home that it would be very difficult to get a deed in lieu. Is that right?

smithsussane · Posted: Wed Sep 08, 2010 9:57 pm Post subject:

Hi ae!

Welcome to forums!

It is true that unless you have a financial hardship, the lender will not be ready for a deed in lieu of foreclosure.

Sussane

Company	Loan Type	APR	Est. Pmt.
				Go
				Go
				Go
				Go
				Go
				Go

Property State:
Property Type:
Credit Rating:

All times are GMT - 7 Hours

Page 1 of 1

Compare Mortgage Quotes

rental positive equity,negative cashflow,return keys to bank