Good Morning!
I get asked about “Deed In Lieu” sometimes.
A Deed In Lieu is where you beat the mortgage company to the punch… …and give the mortgage company back the house before they have a chance to foreclose.
People ask me how a Deed In Lieu would affect their credit.
I tell them that it would be treated the same way a full foreclosure would – from a mortgage perspective anyway.
…in fact, if you have a “Deed In Lieu” show up in the mortgage history on your credit report – it might as well say “Foreclosure”.
You will have to wait a period of time before you would be eligible for a new mortgage.
…here’s what you’re looking at for seasoning on a foreclosure:
Fannie Mae/Freddie Mac: 7 years. (Sometimes you can get automated approval after 4 years)
VA: 4 years.
FHA: 3 years.
That’s it for today!
I hope you have a great day! Thanks for reading!
Brett
If you are thinking about buying a house, but you aren’t really sure if it’s…
Here is a breakdown of the maximum seller help amounts by loan program… Program: Conventional…
Your property tax bill usually comes out in late November, or early December. There are…
If you want to acquire rental properties, but you are having issues proving your income…
If you receive money from the State or a County sponsored organization for providing foster…
FHA gift questions come up often. I wanted to give you the rules on FHA…