Upcoming Foreclosures

I need help understanding a foreclosure?

Can someone explain to me what a deed-in-lieu is??? And what's the difference between that and a foreclosure, if there is a difference??? We are not understanding a thing and don't want to sign things without understanding...thanks.

Public Comments

1. it is just slightly better than a full blown foreclosure as you submit the deed to the home in lieu of going to court. Now your credit report will show a foreclosure and if the sale dioes not bring enough to settle the note then it will also reflect settled for less than full balance owed. Try selling if yoou can even a short sale is a little better that a deed in lieu
2. Very few lenders will accept a deed-in-lieu of foreclosure. The reason is that if there are other liens against the property (mechanics liens, 2nd Trust Deed, IRS tax liens etc) the lenders 1st TD becomes subordinate to these other liens. The lender can purchase new a title insurance policy that will at least show if there are other liens on the property. A deed in lieu would be better for you vs. a foreclosure but either way your credit is going to be bad for at least 4 years to come. A short sale would be the better alternative if possible
3. For one thing, a Deed in Lieu, if accepted by the lender, lets you off the hook for any deficiency balance, and that is good. Almost every foreclosure has a deficiency balance which you will have to pay or file bankruptcy.
4. A deed-in-lieu is defiantly better than foreclosure however not always accepted or acceptable everywhere and for everything. Each situation vary's a whole deal and really does depend on your location as well as personal situation. It is taken on a base to base situation so may i suggest you look up getting in touch with a finance company to help you out maybe first too. Linked a site that i just found that has a load of info on foreclosure and should be helpful for you.