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Deed In Lieu of Foreclosure in San Joaquin County

By
Real Estate Agent with RE/MAX Gold, DRE#01241695

Deed In Lieu of Foreclosure in San Joaquin County

To deed or not to deed, that is the question.

Many homeowners are in an unbearable situations and need to make decisions and do not know what to do or where to turn. Lost jobs, late payments and desperation.

Click for Options and Solutions for Foreclosure

One topic that continually pops up is Deed in Lieu of Foreclosure or the "Friendly Foreclosure" Versus a Short Sale. A Deed in Lieu can be good for the bank, but not necessarily good for the homeowner. During this process, the home is voluntarily given to the bank because the homeowner can no longer make payments. The bank takes the home back without having to go through the foreclosure process. The bad news for a homeowner is that a deed in lieu can damage one's credit as bad as a full foreclosure. Also, for a Deed in Lieu, most banks require that a property be on the market at fair market value for 90 days before they will consider granting this option. Also, keep in mind that a  Deed in Lieu will be a typical question asked on a credit and Job application whereas a Short Sale will not be of concern.

Short Sale Solutions

In a Short Sale, the homeowner works with the lender to accept a selling price that is less than what is owed on the loan.

Benefits of a Short Sale are as follows:

1. Salvaging credit.

2. The feeling of achievement for selling the property without going through the horrors of Foreclosure.

3. Putting the the seller in a position to negotiate the removal of a deficiency judgment if applicable.

4. With a Short Sale the seller may be able to purchase a home again in as little as two years.

Click to obtain your free Deed In Lieu Report