Posted on: 28th Aug, 2009 09:58 am
[left:cffcb694ed]how does a deed in lieu of foreclosure effect your preapproval balance for another home loan. i am still current on my payments on the property that i have, but have relocated for work and am getting married to a fireman that has to stay within 10miles of the station. needless to say we are not able to reside in my current residence that i have up for sale.
he has no credit history so everything is going to fall on me. i was approved for $200,000 but they had to count my house against me so it dropped to $110,000. when i get out from under the house payment they are telling me that my amount may go back up. it will have to be a short sale or deed in lieu because i owe more than i will be able to sell for.
any ideas on how to raise the preapproval amount to atleast $150,000? [/left:cffcb694ed]
he has no credit history so everything is going to fall on me. i was approved for $200,000 but they had to count my house against me so it dropped to $110,000. when i get out from under the house payment they are telling me that my amount may go back up. it will have to be a short sale or deed in lieu because i owe more than i will be able to sell for.
any ideas on how to raise the preapproval amount to atleast $150,000? [/left:cffcb694ed]
Hi Guest,
It would be difficult for you to raise your pre-approval amount after a deed in lieu or a short sale. A deed in lieu of foreclosure would lower your credit score by 250 points and you would not be able to buy a property for the next 3-4 years. As far as short sale is concerned, it would lower your credit score by 75-100 points and you would be responsible for the deficient amount. Moreover, you won't be able to buy a property for around 2-3 years.
It would be difficult for you to raise your pre-approval amount after a deed in lieu or a short sale. A deed in lieu of foreclosure would lower your credit score by 250 points and you would not be able to buy a property for the next 3-4 years. As far as short sale is concerned, it would lower your credit score by 75-100 points and you would be responsible for the deficient amount. Moreover, you won't be able to buy a property for around 2-3 years.