A short sale and a deed in Lieu of Foreclosure are the best options if you want to give your home up, but don’t want foreclosure. These options let you sell or leave your home without being liable for any deficiencies.

Short sale

A short sale is where the lender allows you to sell your house, but for an amount “short” of the money you owe. There are some states where the lender can sue you even if the house is already foreclosed or if you have already sold the house just to get the deficiency. There will be a deficiency if the money you get from the sale is bigger than the amount you owe. The difference between the money you got from the sale and the money you owe is the deficiency. If you are in a state where the lender can sue you to recover the deficiency, the best option for you is to ask the lender to allow you to sell. You should put this agreement in writing. This agreement is called short sale.

Deed in lieu of foreclosure

On the other hand, deed in lieu of foreclosure is where you give your house to the lender so that your loan will be cancelled. The act of giving your house to the lender is the “deed.” With this agreement, the lender will not engage in any foreclosure proceedings or cancel any foreclosure proceedings. Don’t forget to put the agreement on writing if you want the lender to forego the deficiency after the sale of your house. Before your lender will agree to sign a deed in lieu of foreclosure, you may be required to put your house on the market and wait for an average of three months. Also, banks would want you to sell your own house instead of them.

To know, which of these options is best for your foreclosure situation, it is best to consult or hire a lawyer.

Related Posts
Expenses in a DUI case
DUI case or Intoxicated driving is the act of working or generating an automobile while under the impact of liquor or medication to the level that psychological and engine skills ...
READ MORE
Affordable lawyer for felony charge
The saying, DUI or the Driving under Influence only is enough to tense you up. And you can’t ignore the situations it will lead to. The penalty for the same ...
READ MORE
How to check your landlord?
Just as the landlord screens the tenants, you should also check out your landlord. Your landlord wants to know if you are diligent in paying the rent. You should also ...
READ MORE
Can legal drugs cause DUI DWI arrest?
DUI DWI arrests are usually due to the use of alcohol as well as illegal drugs. Not everybody knows that legal drugs, prescription medicines and other over the counter drugs can ...
READ MORE
Why driving and cell phone usage shouldn’t be mixed?
Cell phones are technologically advancing at a significantly fast pace. Before, you can only use it to text and call. Now, you can use it to browse the internet, send ...
READ MORE
Defenses: Most often raised to drunk driving charges?
Drunk Driving is the act where in the driver drives the vehicle under the influence of alcohol or drugs. This is to such an extent that the person does not ...
READ MORE
Important part in your dui case
You might not agree with the results of the police report for your DUI case the first time you see it. The report contains the results of the field sobriety ...
READ MORE
Know Civil lawsuits to avoid them
If you are taking a proceeding or a case of some wrong act, it might be known either as "civil" or may be "criminal" suit. Scrutinize these 2 forms of ...
READ MORE
Why to hire dui lawyer
You must have heard of the friends or family members being caught under the DUI. Definitely, Driving under Influence is not a small case. In fact most of the states ...
READ MORE
Landlord tenant law
Landlord tenant law of a dwelling house or a residential building is governed by tenancy law which applies real estate property law and contracts in leasehold estates. If you are ...
READ MORE
Expenses in a DUI case
Affordable lawyer for felony charge
How to check your landlord?
Can legal drugs cause DUI DWI arrest?
Why driving and cell phone usage shouldn’t be
Defenses: Most often raised to drunk driving charges?
Important part in your dui case
Know Civil lawsuits to avoid them
Why to hire dui lawyer
Landlord tenant law