Foreclosure/DIL help

[Help Wanted]

What is the name of your state? Michigan

I made the mistake of refinancing on the 2/28 ARM program a few years back, borrowing equity at the time as well. Circumstances changed drastically since the re-fi and when my ARM kicked in I could not afford the payment. Tried refinancing but no cash for closing costs and could not afford to roll it in the payments. I was offered an "ARM" deal through an out of state lender but opted not to make the same mistake twice. I have not made a pymt in 7 months now, the mortgage site states that my account had "property preservation" on 6/26/06. In spite of this latest event of prop preservation, can I do a Deed In Lieu.

It should also be mentioned that I tried to work with the lender and it was a no go, despite the fact that prior to January of this year, I had never even as much as been late on a payment in the 6 years that I have owned the house. One additional important factor, I have not lived in the house since 3rd week of March, I am over 500 miles away.

What are my best options to eliminate as much negativity on my credit report as possible?

[pojo2]

What are my best options to eliminate as much negativity on my credit report as possible?

Rather obvious catch the loan up and never be late again.

Your credit has already taken a pretty good ding with being that behind. Foreclosure or deed in lieu will not make it look any prettier.

You do not mention that you have had it on the market trying to sell for the amount you owe on it.

[Help Wanted]

I have researched on the internet that a Deed in Lieu prior to Foreclosure will help prevent some of the negativity**************my question is....with a Property Preservation having taken place on June 26th...is it to late for a Deed in Lieu?

I cannot sell the house. When I refinanced the last time, the equity that was borrowed put the house out of "sale" range. With a new increase in property taxes, and a few other factors, many houses are up for sale, 7 on my street (a 3 block stretch) alone. The houses are about the same, so anyone searching would rather take a different house for less money then to pay what I owe on mine. Also impeding the ability to do what it would have taken to sell the house if it were an option.....is that I live over 500 miles away now.

[seniorjudge]

Originally Posted by Help Wanted

I have researched on the internet that a Deed in Lieu prior to Foreclosure will help prevent some of the negativity**************my question is....with a Property Preservation having taken place on June 26th...is it to late for a Deed in Lieu?

I cannot sell the house. When I refinanced the last time, the equity that was borrowed put the house out of "sale" range. With a new increase in property taxes, and a few other factors, many houses are up for sale, 7 on my street (a 3 block stretch) alone. The houses are about the same, so anyone searching would rather take a different house for less money then to pay what I owe on mine. Also impeding the ability to do what it would have taken to sell the house if it were an option.....is that I live over 500 miles away now.

You should be asking your lender if it will take a deed in lieu of foreclosure.