Foreclosure/divorce in Michigan

What is the name of your state? Michigan

My husband and I bought a new house two years ago next month. We were unemployed due to lay offs last year for most of the year. While unemployed, we got two months behind on the mortgage and the mortgage company has started foreclosure on our house. I went to Homesavers but the bank is unwilling to compromise on any solutions presented to them. The sale date of the home is March 16th. The complication is I have filed for divorce. There is no equity in our home, the loan to value is 95%. I have also been told by a local attorney we should take a quickclaim deed rather than the foreclosure. I am not sure what the best option is here. I also checked into a chapter 13 bankruptcy but the only debt we have is the mortgage and my husband's car payment. What is the best way to go in this situation?

[HomeGuru]

[quote]Originally posted by Caliburn
[b]What is the name of your state? Michigan

My husband and I bought a new house two years ago next month. We were unemployed due to lay offs last year for most of the year. While unemployed, we got two months behind on the mortgage and the mortgage company has started foreclosure on our house. I went to Homesavers but the bank is unwilling to compromise on any solutions presented to them. The sale date of the home is March 16th. The complication is I have filed for divorce. There is no equity in our home, the loan to value is 95%. I have also been told by a local attorney we should take a quickclaim deed rather than the foreclosure. I am not sure what the best option is here. I also checked into a chapter 13 bankruptcy but the only debt we have is the mortgage and my husband's car payment. What is the best way to go in this situation?

**A: ask the lender if they would accept a short sale or a deed-in-lieu of foreclosure.

What is a short sale or a deed-in-lieu of foreclosure? What are the consequences for me?

[HomeGuru]

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