Filed chapter 7 now what? Short sell it or let them Foreclose?

[Sunsets]

I filed for chapter 7 not discharded yet... I am not reaffirming the debt Should I try to short sale the property now or DIL or just let them foreclose. I live in GA and the 2nd home is in Florida were talking about.

[angles]

Let it foreclose. There is no benefit that I can see to doing a short sale or a DIL. There is probably more risk to you if you try to help the bank by short selling or DIL because in the short sale or DIL agreement the bank may insert some deficiency language. Play it safe.

[Sunsets]

Thanks for the update. Hope to see others

[shark66]

You've got nothing to gain by short sale or DIL. Let them foreclose and don't even think twice about it.

My $0.02 only...

Good luck.

[tcreegan]

Hi Sunsets,

Generally the only person who benefits from a short-sale is the real estate agent getting the commission. Now that you have filed, it is out of your hands anyhow. The trustee controls it for now, and if they let it go, it is the mortgage lenders option on what to do.

I thought the lenders would go for a quitclaim or d.i.l. since it is cheaper than a foreclosure, but folks around here said foreclosure is better for a clean title. I just wanted to get my name off the title faster, tie-up the loose ends, GMAC said no, they wanted to foreclose.

Did see a couple folks post about "cash for keys" programs; basically they cleared out the house, prepped it for sale, and got paid for the trouble. One guy mentioned that he got paid from the real estate agent and not the lender directly. I asked GMAC, they said no.

Well, whatever road you take, I hope it works out well for you...

Tom in Colo