Can I transfer ownership of my home to avoid foreclosure?

In Wisconsin, transferring ownership of your home to avoid foreclosure is a legal process known as deed in lieu of foreclosure. This type of transfer allows homeowners to avoid public foreclosure proceedings and protect their credit from damage. The deed in lieu of foreclosure process is not available to everyone. Typically, a homeowner must demonstrate financial hardship and work out a repayment plan with the lender before a deed in lieu of foreclosure is accepted. Additionally, the lender must approve the transfer and all outstanding debt must be paid in full. Once a deed in lieu of foreclosure is accepted, the lender takes possession and the property becomes their asset. The homeowner is then released from their financial obligation for the home, but this may result in a tax liability. Therefore, it is important to consider the tax implications of this type of transfer before you act. If you are struggling to make your mortgage payments, you should contact a housing counselor to review your options before entering into a deed in lieu of foreclosure agreement. A housing counselor can help you understand all of the implications of the transfer, make sure that you have explored other options, and provide information about local programs that may be able to help you.

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Can I transfer ownership of my home to avoid foreclosure?

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