Fausett Law PC is a recognized and experienced short sales and deeds in lieu law firm. Our lawyers give practical and affordable legal advice to homeowners in financial trouble in the counties of Cook, DuPage, Kane and Will.
Short sales and deeds in lieu of foreclosure are two ways of avoiding foreclosure and the related negative blow to your credit. Many Illinois homeowners who are facing foreclosure in the near future or currently involved in foreclosure proceedings begin by attempting to negotiate a short sale or a deed in lieu of foreclosure.
Timing is very important and it is in your best interest to have an attorney on your side to negotiate with your mortgage lender, review all legal agreements and give you legal advice about how to proceed. If your lender has an attorney protecting its rights, you should have a lawyer defending yours.
What Is a Short Sale?
A short sale is an agreement between a homeowner and a mortgage lender. In a short sale, the homeowner asks the bank to accept less than is owed on the mortgage as full repayment of the mortgage. The homeowner gives up ownership of the house and takes a slight hit on credit rating, but the hit is less serious than the stain of foreclosure.
Often, the homeowner works with a real estate agent to list the property and to secure an offer to purchase the property. Our lawyers will submit the offer price, and a short sale packet of important legal documents to the mortgage lender, and negotiate with the mortgage lender to find out if the mortgage lender will accept the offer price as payment in full. Fausett Law PC will also help you communicate with your real estate agent and with any other parties who may have a lien on title. Lastly, in the case of a short sale, your lender will pay your attorney’s fees to complete the transaction.
What Is a Deed in Lieu of Foreclosure?
By means of a deed in lieu of foreclosure, the homeowner simply turns over ownership of the house to the mortgage lender eliminating the need for a foreclosure. With a deed in lieu of foreclosure, the homeowner does not have to try to complete a short sale and still avoids the credit stain of foreclosure.