If You Can't Keep Your Home


Options For Moving Out Of Your Home


Pre-Foreclosure Sale or Short Sale


If you can no longer afford your home, this option involves selling your house to prevent foreclosure.  If you owe more on the home than its value, your lender may agree to accept less than what is owed on the mortgage.  

Typically, you would need a three to five month period for your real estate agent to sell the house to a qualified buyer. There may be income tax consequences with a short sale; talk to a tax preparer to find out. 
(Source: MN Homeownership Center).


Deed-in-Lieu


If you can no longer afford your home, another option may be a deed-in-lieu of foreclosure, when your lender may agree to forgive the debt you owe if you sign over (give back) the property. 

Typically, you would first have to try to sell the home for 90 days before the lender would consider this.  If you have a second mortgage, a deed-in-lieu may not be an option.  There may be income tax consequences wit h a deed-in-lieu; talk to a tax preparer to find out. 
(Source: MN Homeownership Center)

Redemption Period


Redemption is a period after your home has already been sold at a foreclosure sale during which you can still reclaim your home.  You will need to pay the outstanding mortgage balance and all costs incurred during the foreclosure process.

In the state of Michigan, the usual redemption period lasts six months.  This period is the time during which you can buy back the property.

You have the right to live in the house until the end of the redemption period. If you vacate the home, the lender can accelerate or shorten the redemption period.

Renting and Relocation Resources


Local Renting Resources



Rental Assistance



Relocation Resources



(Source: HUD)