deed in leu vs foreclosure

[mickeysfriend]

we're filing chapter 7 mid-April. We're already 3 months behind on mortgage payments.

According to my attorney we have about 6 months to stay here after the foreclosure process begins.

We 'think' that we are only moving a few blocks away. My DH wants to do this in the least 'embarassing' way possible (I personally dont care). He's thinking that we could just do a deed in leu.

BUT, we need those 6 months!!!

AND, I 'think' if we do a deed in leu, we have to put the house on the market (right?) and then we only have 3 months to sell it and be out???

we're on Oregon. anyone know?

[HHM]

Banks are rarely doing DIL's now. Do you have a 2nd mortgage, if so, you can practically forget about a DIL. You can also forget a DIL if you have negative equity in your home.

Don't worry about the embarrassment, that is a false objection to taking the right action, which sounds like you are wanting to simply walk away from your home.

[mickeysfriend]

thanks! that's what I thought