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answerhardquestion · Feb 15, 2008, 11:43 AM

This is a hard question:
I sold my home of which the buyers could not get completely financed... so the day of closing they had open a line of credit along with the first mortgage and I held a third for them, giving them a chance to pay me interest only for 18 months... before the 18 months I sent a letter of demand to collect my money and they tricked me into satisfying the note through the court and but that as soon as they refinanced that all those proceeds were to pay me... well, it turns out that in the meantime while giving them a 60 days they continued to pay me interest and after the 60 days 3 days later, I get served with papers that this home has been in foreclosure for more than 4 months! They never mentioned to me that this was happening and but they did signed a new modified note with me of which I re-filed with the court... my question is how or what are my options and how do I get my money?
Please help me! Thank you.

ScottGem · Apr 5, 2008, 05:18 PM

First its not a good idea to piggyback your question on someone else's. This can lead to confusion. You should start a new thread. So I've moved your question to its own thread.

I know this question was asked a month ago, but the fact that it was piggybacked is why it may not have gotten an answer. Hopefully moving it to its own thread will help. Please return and update us on your situation.

As far as I see it if they gave you a mortgage that was third behind two others, you may never collect. If the house gets foreclosed on, it will be sold at auction and the first lienholder paid, then second, and then you. Since I doubt that they put enough down to have any equity, its unlikely an auction will realize enough to pay off all indebtedness. Your next options sepend on what they actually signed. You may be able to sue them, but if they couldn't pay their mortgages, how much money do you think you will get out of them?

Fr_Chuck · Apr 5, 2008, 07:43 PM

Yes, most likely you will never see any money from this. When it does sell at foreclosure the first mortgage is paid first, then if any money left, the second, and then the third.

But almost never is there enough to even pay the first off fully. You should be able to get a judgement ( but since you signed that the note was paid in full, all they do is show that and then you have to prove they still owe it)
So all in all, I doubt you ever see any money, sorry