Many homeowners are having to make difficult decisions about keeping or selling their home. If you breach your mortgage contract, the lender can’t simply evict you from your home and take possession of the property. It’s best to be honest about your financial situation and do what is best during this difficult time. If you can’t afford your home, you might consider completing a short sale or deed in lieu of foreclosure.
In a short sale, the lender agrees in writing to accept the proceeds from the sale of your home even though the amount is “short” of the remaining mortgage amount. The lender then removes the lien on your home. Normally after a short sale, you might be liable for the “deficiency” which is the difference between the sales price and what you owe on your mortgage loan. A deed in lieu of foreclosure is a different approach to consider. It is when the lender agrees in writing to accept the deed to the property rather than pursuing foreclosure.
Depending on the terms of the agreement and state law, you should contact Martin Law Group so we can review your documents. If you are a homeowner that maybe experiencing foreclosure concerns and need legal assistance, please contact Martin Law Group. We are providing free consultation for month of November.