Short Sale or Deed-in-Lieu?
A deed-in-lieu is the fastest solution out of a foreclosure, compared to the timeline of a short sale.
However, very few lenders will negotiate a deed-in-lieu if a lien, or second mortgage has already been taken out on the home.
Also, a deed-in-lieu will be a typical question asked on any future credit applications. Your history of a short sale will not be a concern.
What Should I Look Out For?
If you are considering either a deed-in-lieu or a short sale, it would be wise to review the terms and conditions of your transaction carefully. Make certain your agent can explain whether or not a deficiency balance is forgiven, or how long the lender can pursue this judgment.
Both options can save you from the distress that foreclosure will cause on your credit, finances,future employment and, most importantly, your stability.
A distressed property expert can help you make the right choice. We hold the CDPE® (Certified Distressed Property Expert) designation and we have helped hundreds of homeowners in distress.
Contact us today . We can help you make the right decision.
I Heard About “Deed-For-Lease” … What’s That?
You might have read about a program called Deed-for-Lease™.
Fannie Mae created this program as an option for homeowners who are in distress but not eligible for a mortgage modification.
Through this program, qualifying homeowners have the option to remain in their homes as renters after voluntarily transferring the property deed back to the lender.
The homeowners must prove they are able to afford market rent, and then sign a lease with the lender.
Deed-for-Lease provides an additional option for borrowers who do not qualify for, or have not been able to sustain other loan-workout solutions. While this program is unique to Fannie Mae loans, be sure to discover what options your lender offers to homeowners who do not qualify for loan modifications but wish to stay in their homes.
The Atlas Home Group Can Help
We hold the CDPE® (Certified Distress Property Expert) designation and have received extensive training in foreclosure-avoidance options.
Before applying for a deed-in-lieu, you should have a plan of action should you not qualify, or if the transaction does not go through.
We are here to help you put the plan of action together, contact us today.