| ||||
| All Foreclosure Home Page | Foreclosure Discussion Board | |||
Posted by Bill H on January 03, 2007 at 20:12:13:
In Reply to: Short Sale, Deed in Lieu or Foreclosure? Which is better? posted by John on January 03, 2007 at 12:33:06:
Very basically:
CA is a non-deficiency state for purchase money...so unless they foreclose judicially (very unlikely) they can not come after you for anything owed after the sale.
Short Sale...requires a compelling reason for the lender to do this. Hardship, bad property, needs repairs, worth less than owed, etc. YES, you can get a 1099 for any Mortgage Relief and MUST pay taxes on it.
Deed-In_Lieu...You cannot just deed it back. The lender does not have to accept it. Speak with them, discuss the situation ask for a DIL and if they will accept...might be your best bet.
Taxes...In no case will they be removed by any sort of sale, short, DIL, Foreclosure. They will become the responsibilty of the new owner.
Good Luck,
Bill H
