Ask Experts Questions for FREE Help !
Ask
    Queencanary's Avatar
    Queencanary Posts: 1, Reputation: 1
    New Member
    		  
    #1

    May 20, 2008, 12:12 PM
    Liability on a foreclosure, 1st and 2nds
    We live in Calif. And purchased a house late 2006, for $475,000. We have a $374,000 first and a $94,000 second. The current value of the house is approx. maybe $300,000. We can't sell for what we owe and are thinking of just walking away. We are current on our payments, but things are getting tough. Does anyone know if we were to walk away, if the 1st foreclosed, would the 2nd try to come back and make us pay the 2nd? Please help!!
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
    Expert
    		  
    #2

    May 20, 2008, 12:30 PM
    OK, you owe a total of 468000 if my math is right. Well if you are correct on the value of your home being 300,000 then at a foreclosure auction one of two things will happen, it will go to the fist lender for the value of the loan, or they will sell it for as much as they can and just let it go.
    So it is possible to sell even less than 300,000.

    and of course there will be more costs, foreclosure costs, lawyer fees, sell fees and more. So expect another 20 to 30 thousand most likely be added b all sorts of other fees before it is foreclosed.

    And yes they will then come after you for the balance that is owed.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Tax liability [ 2 Answers ]

I just took a job in nyc. What taxes am I responsible to pay, New York state, nyc , both or just one?

Tax liability [ 2 Answers ]

What is my income tax liability after receiving an insurance settlement from a car accident and then using almost all of it to pay all the bills?

HOA liability [ 2 Answers ]

I am a tenant in a condo owned by someone else. The community is run by an HOA. I understand that they have responisbility for all common areas including the covered parking spaces provided to the occupants of the condos. I recently sustained considerable damage ($2400) to the bumper on my...

Tax Liability [ 1 Answers ]

Hi, I am a F1 Student living in cincinnati, OH since August 2006. I had worked on campus during 2006 and have received W2. I have the following questions: 1) There are no state taxes deducted. Do I need to pay any? 2) Socialsecurity Tax/Medicare have been deducted. I don't think I am liable...

View more questions Search