Anybody actually got the deed-in-lieu?

[cc123]

I thought since this is the Deed-in-lieu of foreclosure section, we ought to see at least a few successes with DIL. Anybody actually managed to convince the lender to do a DIL? If so, how is it reported on your credit? Who is the lender?

[JohnCampbell08]

I would like to know this as well

[Ron1234]

John, I requested one last week on a BofA loan @ $940k.....The property is now worth $475k, and will not come back to it's loan value for at least 20 yrs!!!
I asked for a mod, but was denied due to being curent, so they put me in a forbearance program. I told them that a forbearance program was nothing more than a death sentence, in that I would not be able to make up the payments when due 3 months down the road. We'll it's now 3 months down the road, I've had it listed on mls for 4 months with no offers and BofA wants their money........I requested a deed in leiu, but have not heard back from them.

[driacovone]

I applied for mine in December. I was contacted earlier this week to go through my finances one last time.

I should know this week if it is accepted or not, and what will be offered, or if they what they will want from me.

Will keep you posted.

[JohnCampbell08]

Just to confirm, the DIL is pretty much the same as a Foreclosure right? Is there a difference, as far as how long the process is in comparision to a regular forclosure (for instance, how long you have to move out)?

If you get a DIL does that nullify the possibility for them coming after you for a defi/judgement?

[cc123]

With DIL, you basically return the deed to the lender without going through the foreclosure process. Your credit score will be damaged by about the same points. Just that DIL sort of "looks" better on your record. With foreclosure, you can ride out the process by staying in your home rent-free for many months. From our conversation with a lawyer, if the lender accepts the DIL, you will have to move out very soon.

However, from what I've found out so far if your lender is BofA, they want you to sign the deficiency judgment for the owed amount. So, it is quite pointless IMO to pursue DIL with them. Ron1234, keep us updated on your progress. We have BofA loan too.

[LeavingAZ]

Yep, it'd be interesting to know this...about a successful dil story.
I didn't bother and I still moved out shortly after receiving my first loss mit docs. I wanted 0 to do with the house...good luck to all!

[Ambling]

Keep in mind that if you have a 2nd then a DIL is probably not an option for you.

When the 1st gives a DIL they assume responsibility for any junior liens.

[kymburley]

Originally Posted by Ambling

Keep in mind that if you have a 2nd then a DIL is probably not an option for you.

When the 1st gives a DIL they assume responsibility for any junior liens.

Really? I sooo didn't know this. Litton (are liars) said they would do a DIL even with a 2nd, but they told me to call the 2nd to find out if they would also do a DIL. Litton (1st) said house can't go into foreclosure, and HSBC (2nd) said house must be vacant. If house is vacant I'm paying rent somewhere and won't be able to make payment; therefore, 1st will go into foreclosure. That's why it won't work for me.