Upcoming Foreclosures

Does foreclosure mean they can take other properties from you??

My mother-in-law owns 2 houses in southern Florida…the main one she lives in and the investment one she bought several towns over 2 years ago. The second one that she owns and had been renting out is now empty and she can no longer afford the payments. She has been to see her mortgage bank and they told her that it is only after she is 60 days late on payments they have to “do something about the situation.” We have been talking and talking for days now and she has decided that the only viable road left open to her is a Foreclosure. She has asked me for information about it and I do not know about Foreclosures. Does anyone know if her main house – the one she lives in and maintains a Homestead exemption on – can be taken from her if she Forecloses on the second one? Does anyone have any real information about this? Please do NOT respond with advice, about loans, business opportunities, money-making schemes, etc. I really just need Foreclosure information. Thanks very much.

Public Comments

1. forecloser means theyre gonna ake your house if you cant pay for it forecloser is if you cant pay for it they take it back and no they can only take away from you what youre not able to pay like if u have 2 houses and can only pay for one theyll take the one you cant pay
2. Go look at the loan papers. This is probably a "recourse loan" meaning that if the property is sold for less than the loan, the bank can come after her for the rest. While they can't make her sell her other property, they can ask to be paid. If she ultimately doesn't pay, they will issue her 1099-C for cancelled debt which becomes potentially taxable income to your mom. (The new foreclosure rules don't apply, this isn't her main home.)
3. The only way that your mother could have her main house foreclosed upon is if she pledged the main home as collateral toward the 2nd home mortgage. They CANNOT foreclose on her house unless this exists. They can, however, file judgement against her if the resell and costs do not satisfy the amount owed on the second home. Even is judgement is filed, they cannot take her main home. The foreclosure process takes quite awhile to come to fruition, so maybe list the property could be listed for sale through a realty company if it is felt that it would sell more than at auction. Good luck!
4. I dont think so I think they can only take the house the mortgage is on. Thats the risk the morgage company takes in writing the morgage. They get the house to sell. which brings me to the point..if the house is worth more than you owe, the mortgage company keeps the difference. So if you can make money by selling it do so. In this mortgage climate they probably will be happy to work with you.
5. Foreclosure is limited to the property(s) that you granted the lender a mortgage interest on. The mortgage document should state very clearly which property(s) are encumbered by the mortgage. Has she considered selling the investment property? If the outstanding mortgage balance is not greater than current market value, that may be an option to avoid foreclosure.
6. Yes, they can. This has nothing to do with the Homestead Act. Your solution might be in the report below. It will help you get at least the fair value for your mother's empty house and avoid foreclosure. In less than a week you may have sold this house. After getting that report and following their method to the letter I sold my house in Florida in a few days for much more than what the finance company was willing to pay for it. Scumbags!!!. You may want to have a quick look at this FREE but controversial report. "How To Sell Any House In 36 Hours, for Fair Market Value Even In a Slow Market!" This report will teach you how to survive the real estate crash and sell your house faster and with less work than you may imagine!