Deed in Lieu of Foreclosure
How can I do a Deed-in-lieu of Foreclosure?
Deed-in-lieu of Foreclosure– Occurs when the lender accepts ownership of the property in place of the money owed on the mortgage.
Basically, you simply sign over the property to the bank to avoid foreclosure.
Sounds easy, right? Not so fast!
Most lenders will require that the homeowner first attempt a short sale before they will even consider a Deed-in-lieu of foreclosure. Additionally, having multiple lenders can complicate things even further. We have yet to see a Deed-in-lieu accepted on a property with multiple lenders. Therefore, we don’t see Deed-in-lieu of Foreclosure as a viable first option for distressed homeowners.
However, things may be changing, we recently received a call from a client who has been asked, by their lender, if they are interested in completing a Deed-in-lieu of Foreclosure. We will have to see if this is an isolated occurrence or the new trend.
Foreclosure Defense Attorneys
Call the Law Firm of Vaughn, Weber & Prakope, PLLC at 516-858-2620 to speak with a foreclosure attorney.
Credit Report Errors
Do you have errors on your credit report?
A new study done by the Federal Trade Commission on the United States credit reporting industry revealed that 5% of consumers had incorrect credit reports from three major credit reporting agencies. These mistakes could lead to consumers paying more for products such as auto loans and insurance. It was shown that one in four consumers had errors on their credit report that could affect their credit scores. One in five consumers had an error that was fixed by a credit reporting agency after it was disputed. The study found one consumer had a maximum credit score change of more than 100 points after reviewing mistakes made.
In light of this study, consumers should access their credit report and ensure that their spending and payment history is accurate. Consumers can check their credit for free without affecting their score at annualcreditreport.com.
You should also read our earlier post: How to raise your credit score for free!
Attorneys in Mineola
Call the Law Firm of Vaughn, Weber & Prakope, PLLC, at 516-858-2620, if you would like us to assist you with disputing items on your credit report or taking action against any of the credit bureaus.
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