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Timeshare Foreclosure
If I have a warranty deed in lieu of foreclosure on a timeshare, will I be able to get a mortgage loan? Is a timeshare foreclosure the same as a foreclosure? Can I get a mortgage with a timeshare foreclosure? What is one disadvantage of a deed in lieu foreclosure?
Does a deed in lieu of foreclosure affect credit? What benefit would an owner get from a deed in lieu of foreclosure? What might prevent an Arizona lender from accepting a borrower’s deed in lieu of foreclosure? What is a major disadvantage to lenders of accepting a deed in lieu of foreclosure? Why do lenders prefer a deed in lieu of foreclosure to a foreclosure?
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This discussion was modified 2 months, 2 weeks ago by
Sapna.
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This discussion was modified 2 months, 2 weeks ago by
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1 Reply
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In this section, we would like to address these questions about deed-in-lieu of foreclosure. We will cover especially in regards to timeshares and how they pertain to the mortgage:
How to obtain a mortgage with a deed-in-lieu of foreclosure on a timeshare:
You can qualify for a mortgage after a timeshare foreclosure. Lenders do not consider a timeshare real estate. A timeshare loan is considered an installment loan and not a real estate mortgage. Therefore, there is no waiting period after a timeshare foreclosure.
Putting a mortgage on a timeshare may be more difficult. The effect is contingent on several aspects:
Timeshare foreclosure vs regular foreclosure:
Although both timeshare and primary mortgage foreclosures are negative credit events, the former is generally perceived to be less negative than the latter. A timeshare foreclosre will NOT affect credit and mortgage eligibility because timeshares are not considered real estate. Timeshare mortgage is considered an installment loan and not a mortgage loan. .
Is there a waiting period to qualify for a mortgage after a timeshare foreclosure:
No. There is no waiting period to qualify for a home mortgage after a timeshare foreclosure. This is because timeshares are not considered real estate. Timeshare foreclosure is considered an installment loan and not a mortgage loan.