The deed-in-lieu process can take 4-6 weeks for them to approve, at this point they will have incurred legal fees to foreclose and they will be close enough to the sale date so they might as well sell it at auction.
Taxation Of Short Sales And Foreclosures
On December 20, 2007 the Mortgage Forgiveness Debt Relief Act of 2007 was enacted. Usually, debt that is forgiven or cancelled by a lender must be included as income on your tax return and is taxable. The Mortgage Forgiveness Debt Relief Act of 2007 allows you to exclude certain cancelled debt on your principal residence from income.
How Long Do I Have Once I Stop Making Payments?
I get asked this question on a regular basis, and it depends on the lender and your situation. In most cases the lender will not start foreclosure proceedings until you are at least three months delinquent. There are specific steps your lender will have to take in order to foreclose. The first step is the… Read More
