Mortgage defiency in Michigan How do I protect my home?

Guest

My house went to foreclosure after trying to sell it for over two years and more than a few personal complications. The house was sold at sheriff's sale for almost $60,000 less than I owed. Will I be sued for the difference or will the mortgage company decide on a lesser amount and set up reasonable payments? I obviously can't afford much. I have a primary residence that is also worth less than I owe but with a different mortgage company. My name is the only one on the foreclosed property but my husband and I are both on our primary. We bought it assuming we could sell my old house. How will he be affected? Can I quit claim off of our primary and remain on the mortgage? Can I save our home?

jenkin7 · Posted: Sun May 24, 2009 11:58 pm Post subject:

Hi Kelly,

The mortgage company may sue you if you do not pay the deficient amount. But I think they would be more keen on settling on a lesser amount than obtaining a judgment against you. After all, taking the matter to court and getting a judgment against you will cost them some considerable amount of money which they would most likely be unwilling to spend. Is your husband only on the title to the primary home? Or is he on the mortgage as well? If he is on the mortgage and the house goes to foreclosure, his credit will be affected.

Guest

Thank you for your response.The primary house is not at risk of foreclosure.My husband is on the mortgage and the deed of our primary residence but he is on neither for the house that has been forclosed.

jenkin7 · Posted: Mon May 25, 2009 9:35 pm Post subject:

Hi Kelly,

You are welcome.

If your husband is neither on the title nor on the mortgage of the foreclosed house, his credit is not going to be affected in any way. He is on both the title and the loan of the primary residence. But as long as the mortgage is current, his credit should be fine.

If you have any other queries, feel free to post.

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