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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">Yes, it is viewed negatively and will impact the credit score if reported to credit bureaus. That’s pretty much a given with traditional lending. If your client used seller
financing from a private individual then the odds are probably pretty good it will not be reported.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">As you mentioned, the 1003 Uniform Loan Application used by most lenders requires the borrower to declare whether they have had a foreclosure or deed in lieu thereof in
the last 7 years. I’m not certain what the current Fannie/Freddie guideline is for being eligible for another loan but I think it is less than the full seven years. A good loan officer will know that off the top of their head.<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><a href="https://www.fanniemae.com/content/guide_form/1003rev.pdf">https://www.fanniemae.com/content/guide_form/1003rev.pdf</a>
<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">Marc Holmes<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">Holmes Law Group PLLC<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">2303 W. Commodore Way, # 306<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">Seattle WA 98199<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><a href="http://holmeslawgroup.com/">HolmesLawGroup.com</a><span style="color:#1F497D"><o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><a href="mailto:marc@holmeslawgroup.com">marc@holmeslawgroup.com</a><span style="color:#1F497D"><o:p></o:p></span></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">Ofc: 206-357-4224<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif">Cell: 206-849-0853<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Times New Roman",serif"><o:p> </o:p></span></p>
<p class="MsoNormal"><b>From:</b> wsbarp-bounces@lists.wsbarppt.com <wsbarp-bounces@lists.wsbarppt.com>
<b>On Behalf Of </b>Patrick J. Sullivan<br>
<b>Sent:</b> Thursday, March 15, 2018 10:44 AM<br>
<b>To:</b> wsbarp@lists.wsbarppt.com<br>
<b>Subject:</b> [WSBARP] Deed in Lieu Q<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Georgia",serif;color:black">Hi everyone:<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Georgia",serif;color:black"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Georgia",serif;color:black">I have a builder client dealing with a proposed deed in lieu. I am concerned about the impact of accepting a deed in lieu on the client's ability to obtain credit in
the future. I vaguely recall that lenders typically ask potential borrowers whether they or any entity controlled by them has been involved in a deed in lieu transaction. Obviously, this would be viewed disfavorably by future lenders. Is this a legitimate
concern or much ado about nothing?<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Georgia",serif;color:black"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Georgia",serif;color:black">Thanks.<o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Georgia",serif;color:black"><o:p> </o:p></span></p>
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<p class="MsoNormal"><span style="font-size:12.0pt;font-family:"Georgia",serif;color:black">Regards,<o:p></o:p></span></p>
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<p class="MsoNormal" align="center" style="text-align:center"><b><span style="font-size:18.0pt;font-family:"Palatino Linotype",serif;color:#007439">Patrick J. Sullivan<br>
</span></b><span style="font-size:7.5pt;font-family:"Palatino Linotype",serif"><a href="http://sullivanlawfirm.org/" target="_blank"><span style="text-decoration:none"><img border="0" id="_x0000_i1025" src="https://goo.gl/GqbM6I" alt="The Sullivan Law Firm"></span></a><br>
</span><span style="font-size:7.5pt;font-family:"Book Antiqua",serif;color:#5F6462;text-transform:uppercase">701 Fifth Avenue, Suite 4600
<br>
Seattle, Washington 98104<br>
</span><b><span style="font-size:12.0pt;font-family:"Palatino Linotype",serif;color:#007439">P:</span></b><span style="font-size:10.0pt;font-family:"Palatino Linotype",serif;color:#373A38"> <span class="gc-cs-link">(206) 903-0504</span></span><span style="font-size:12.0pt;font-family:"Palatino Linotype",serif;color:#373A38"> | </span><b><span style="font-size:12.0pt;font-family:"Palatino Linotype",serif;color:#007439">F:</span></b><span style="font-size:10.0pt;font-family:"Palatino Linotype",serif;color:#373A38"> <span class="gc-cs-link">(206)
260-2060</span></span><span style="font-size:7.5pt;font-family:"Palatino Linotype",serif"><o:p></o:p></span></p>
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