Upcoming Foreclosures

if you go foreclosure in Michigan, do you quit your payment on a home equity loan also and what happens?

Public Comments

1. The house goes to foreclosure because you have not been making your mortgage payments. So you can stop those but the Home Equity loan still needs to be paid. The house is sold and hopefully for more than you owe or at least what you. If it sells for less then you owe the balance. The home equity loan is due in full once your house forecloses.
2. I believe a home equity loan or second mortgage is like a credit card payment. I have friends filing bankruptcy in Michigan, their attorney told them not to pay their second mortgage, and they will not loose their house as long as they continue to pay their first mortgage, but if their first mortgage is paid or refinanced their second would come into play. Not exactly the answer to your question, but I hope it helps!