Deed In Lieu Of Foreclosure
we have moved from our home with the expectation that the company would buy our house. 18 months ago we had a re-fi appraisal done and when the company was going to make the offer, we went back to the same appraiser. The second appraisal was $180,000 under the previous one with no change in the house, land, etc. Because of this, we now have two housepayments plus upkeep on both houses and are strained dramaticaly. Can we turn the deed over the the mortgage company in lieu of foreclosure before we have to declare bankruptcy?
Miss Helen, thanks for the reply. We have actually had five appraisals done on the house with the range about $150,000. And the offer that the company is making us is about $40,000 under what we actually owe on the house. We are in a no win situation...the house has been on the market for about 6 months with no offers and now, since the house has been closed up, the company is requesting a mold inspection to be redone. I think they want to get out of the offer completely. What is our recourse?
Try calling the default section of your bank and explain it to them and tell them about the buyout. See if they are willing to take a "short sale", which is less than what you owe. Sounds to me like the refi appraiser seriously did a made as instructed appraisal. I hate to see that.
Here are the strategies you need to stop a foreclosure:
Straight Sale
Sale by assumption
Foreclosure Presale
Compromise Sale
Shortpayoff
Deed in Lieu
Workouts
Forbearance
Modifications
Assignment
Sale/Leaseback or Deedback
Hard Bargaining
Injunctions
Bankruptcy
You as an investors must educate yourself and your customer in whatever direction you will need to take. Your strategy is determined on the time prior to the foreclosure sale.
[addsig]
John,
What strategy is the best when there is very little time left before the auction ?
thanks
Toya