Many borrowers have found themselves in a situation where, after a series of loan extensions, their lenders refuse further extensions and demand full repayment. However, borrowers are unable to repay these loans for a variety of reasons. Compounding the issue for lenders is the length of time required to complete a foreclosure action and obtain the property from a sheriff’s sale (estimates range from two to three years). Thus, many lenders are seeking an alternative to foreclosure by either selling the note or facilitating the sale of the property with an appropriate debt cancellation.
A purchaser of distressed debt or property wants to avoid litigation with the borrower. Such investors seek a “clear path to the deed” and are looking for the borrower’s cooperation in the disposition of the property. In such a situation, a borrower may have an opportunity to address its financial situation.
Read more...GlobeSt.com - Creating a Clear Path to the Deed - Commentary Article
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.