Posted: Sat Aug 01, 2009 12:49 am Post subject: Can I return my HOUSE IN LEIU of Foreclosure
I want just to return my house to Wells Fargo Bank the Mortgage company. They refuse to take it back and they ask financial informatin and they tell me I should try to sell it, But in Costa mesa the price of $370000 has dropped to $120000 dollars, how can i return my house it is called" House in Leiu";
Isn't mortgage spposed to be Secured by the House ? and how can I return the Keys to the Bank!
A mortgage is always secured by a property. You cannot simply return the keys of your property to the lender. You'll have to apply for a deed in lieu with your lender. If the lender accepts your offer, then only you would be able to transfer the property to your lender. The lender would then sell off the property and try to recover the dues. As far as the balance amount is concerned, the lender would forgive that amount. However, a deed in lieu of foreclosure would reduce your credit score by around 250 points.
Take care.
al Guest
Posted: Sat Aug 01, 2009 11:19 am Post subject: deed in lieu of foreclosure
I don't understand ,if I lose 250 on my credit score because of deed in lieu, how much I lose for foreclusure? and what do you suggest not pay the Bank for 12 months and let it go foreclosure of a run down house? after so much cost for bank to foreclose or jus giving te back the Security, my house, with no fight! if I go bankrupt I lose less points and get it over with!
Why Banks would not like to accept their security without any fight now?
You'll lose around 200-250 points if you foreclose your property. As far as bankruptcy is concerned, it will remain in your credit report for 8-10 years though you would lose around 200 points from your credit report. Moreover, lenders will not be ready to give you a loan easily if you've a bankruptcy on your credit report. Banks would first check if you have the ability to pay off the mortgage dues or not. If not, then only, they would accept a deed in lieu. _________________ Procrastination is the enemy of your financial success
nexuslight
