Let us call it what it really is, the Wild West! Some of you may know it Â as the Loss Mitigation Department of banks. So many questions that get you vastly differentÂ answers. This is one of those questions I get a lot. Should I just give it back? Well, let's get a better understanding first.
A deed-in-lieu is the equivalent to a "No Contest" plea in a criminal trial. You
just give up on the foreclosure. If there is a foreclosure court case, the judge
will still have to schedule a foreclosure sale.
Contrary to popular
opinion, a deed-in-lieu does not automatically release you from the debt. This
means that your lender could be pursuing you five years later, after you get
back on your feet.
There is an application process. You will have to
spend between 5 and 10 hours submitting paperwork to your lender before they
will approve the deed-in-lieu. Yes, I think it's crazy!
Why should you
have to submit paperwork to make it easier for your lender to foreclose on your
house? Doesn't make any sense.
Slide over to my blog atÂ http://wilmingtonshortsalerealtor.com
Â to dig into this post and many others.