Pioneer Living Survival

http://finance.yahoo.com/news/Cash-for-keys-aids-home-rb-3874511668.html?x=0

NEW YORK (Reuters) - Jon Daurio, chief executive officer of mortgage investor Kondaur Capital Corp., recently offered a $4,000 check to Barry Culver for the deed to his Bryan, Ohio house.

With the exchange, and a pay-off to a second-lien holder, Culver was freed of $120,000 in crushing mortgage debt on the house, said Daurio, who hadbought the right to cut the deal when he purchased the mortgage monthsearlier. The house, after repairs, is now on the market for $47,500.

DEALS ARE INCREASING

Owners of bad loans are increasingly making deals with borrowers toavoid a foreclosure, which tends to reduce returns for investors andplace a black mark on the homeowner's credit. Lawmakers and regulatorsare becoming more accepting of these solutions even though they meanthe borrower loses the home.