Posted on: 23rd Dec, 2008 07:23 am
what happens if you have other property when you do the deed in lieu of foreclosure? does the lender have the right to come after the other property?
Hi nathalieangibeau!
Welcome to Forums!
In a deed in lieu foreclosure, the deficient amount resulting from the sale of the property is forgiven. So I don't think they will come after your other properties. However, you should note that the forgiven amount is considered as an income on your part by the IRS and you will have to pay taxes on that. To know more about deed in lieu, check out the following link:
http://www.mortgagefit.com/deed-lieu.html
Feel free to ask if you have further queries.
Sussane
Welcome to Forums!
In a deed in lieu foreclosure, the deficient amount resulting from the sale of the property is forgiven. So I don't think they will come after your other properties. However, you should note that the forgiven amount is considered as an income on your part by the IRS and you will have to pay taxes on that. To know more about deed in lieu, check out the following link:
http://www.mortgagefit.com/deed-lieu.html
Feel free to ask if you have further queries.
Sussane