Posted: Sun Sep 23, 2007 11:12 am Post subject: Does Investment property can affect my primary home?
I have 5 property. The five of them under joint tenant on the Deed. Three of them under my name on the mortgage, one of them under my husband, and one of the them under joint tenant? Can I let go one that is under mine name and the one that is under my husband's name to go into foreclosure without affecting the others?
It won't affect the other properties if any two of them are in foreclosure. But it will affect your credit a lot. And, the lender or the loan company may like to seek a deficieny judgment in case the sale proceeds do not cover the outstanding balance on loans taken against both properties.
Yes, you can carry on with that. It will not affect your other 3 property or your primary property. But if your lender is unable to recover the unpaid loan balance amount from the sale, then you have to pay the deficient amount. _________________ Procrastination is the enemy of your financial sucess
They have several options if they choose to pursue them.
They can put a lien against your current property.
They can file and the difference that they loose at foreclosure will be counted as income on your taxes.
In some states I believe they could force you to sell. Although highly unlikely as they are not guaranteed anything and it would be very costly.
As always talk to an attorney.
Also consider this. The market shouldn't stay bad. If you can rent it out for close to the mortgage payment and just make up the difference then it may be better long term to keep it out of foreclosure. Rents normally increase so you wouldn't be at a loss forever. And who knows when prices go back up you might be able to still make something. _________________ Eric Matthews
The foreclosure will not have any any impact on your other three properties. But before considering a foreclosure, you should try to rent those properties as suggested by Livinginnky. You may be able to cover the payments with the amount that you will receive as rent.
Posted: Wed Oct 17, 2007 3:35 pm Post subject: Thanks so much for your response
this is what I did. One of them I sent all the paperwork to do a Deep in Loop. I received a call today from the mortgage company stating they will inspect the house and research the title to see if there is any lien on the property. On the other one I am behind 2 months. There is nothing else I can do. My question is . If the mTg. sells this house for less that what I owed them will they make me sell one of the other property to pay them the difference?
Posted: Fri Oct 19, 2007 11:48 am Post subject: RE: Need to pay unpaid balance?
Hi Elba,
If the house which is to be foreclosed sells for less than what you owe, then the lender might seek a judgemnet against you. As a result, the court can order you to py off the remaining balance and for that you may have to sell other properties to recover the amount. But the lender foreclosing your property cannot make you sell other properties so that he gets his money back.
elbaht
