Compare Mortgage Quotes

video1mjd · Joined: 18 Feb 2011 Posts: 3 1.00 Dollars($)

i have a 1st mortgage of 149K and a 2nd mtg. of 39K, both loans are with the same bank, CHASE. I am considering a deed in lieu, and want to know what happens to the 2nd mtg. when the same lender has the 1st and the 2nd mtg.

gmakerley · Posted: Fri Feb 18, 2011 11:29 am Post subject:

Presumably, the second mortgagee and the first mortgagee in this case speak to each other, though I'm sure there are different servicing agents involved, i.e. the first being a secondary market-serviced loan, the second being an institutionally-serviced loan.

I therefore have to ask you, Video...do you get separate phone calls and/or written correspondence from Chase on these accounts? Do the people who call you recognize and acknowledge the existence of the other loan?

With a deed in lieu, you're satisfying each of these mortgages, supposedly. In this case, since both of the loans are with the same creditor, it would seem to be a relatively simple thing to take care of; but the question remains do they speak with one another.

In your conversation with Chase, no matter where you begin it, you will need to ask them this very question as you bring up the thought of a deed in lieu. Honestly, their answer will be the definitive one in a case such as this.

video1mjd · Joined: 18 Feb 2011 Posts: 3 1.00 Dollars($)

I can't answer the question as to whether the 2 loan holders talk to each other, but I do get separate calls for each. I am in the process of applying for the short sale, when, TODAY, I was told by the 2nd mtg. caller that the 2nd mtg. will become an unsecured loan after going through deed in lieu. What should I do. Do I call the 1st mtg. contact and ask him if they would consider taking the 2nd mtg. along with the 1st. I have NEVER been in this situation and am pretty smart, but clueless nonetheless on what to do next. thanks for helping out.

gmakerley · Posted: Fri Feb 18, 2011 12:02 pm Post subject:

What you've been told makes sense if there's a lack of equity in the property to pay the secondary loan in full. Any portion of that debt that goes unpaid, they'd still like to collect. They'll charge off the loan for that amount, and probably turn it over to a collections agent rather than maintaining their own efforts.

The key, I guess, is just how much you owe on the first and the second, and how much you anticipate selling for. If it's $100K + $50K and you sell for $125K, for example, then the second mortgage will be short by approximately $25K and that's what they'll undoubtedly charge off.

I guess the only way to determine if the two collections departments speak to each other is to ask that question, and to pose a new question as to how the lender would treat this when both loans are held by the same.

You ought to bring that up in your next conversation - have you posed the thought of a short sale to them at this time?

video1mjd · Joined: 18 Feb 2011 Posts: 3 1.00 Dollars($)

yes I did pose the idea of short sale. I actually just got a text from a man that is coming to see the house this weekend. He said he could possible get my past due notes up to date, lease the house for the remainder of this year and THEN purchase the house from me. Not sure if that will happen or not. He is a SLOW responder (communication wise).

I purchased the home 7 yrs ago for 180K, owe 149K plus 2nd for 39K = $188K --- thats really close to the value of the home even if it did not gain any appreciation in 7 yrs.

I was NOT aware that a secured loan could be detached from the property used as collateral and become an unsecured loan.????

I will call the lender who holds the 1st on the home and ask them if they handle anything differently than the 2nd mtg. holder. In the mean time, I pray that this gentleman comes over the weekend and works a deal with me.

THanks gmakerley. . .oh can you help me change my avatar. I am MARK not Mary. . .lol, just a joke but I would like a male avatar.

jameshogg · Posted: Sun Feb 20, 2011 9:42 pm Post subject:

Hi video1mjd,

A secured loan can become unsecured when your collateral has been sold off at an auction. As far as changing the avatar is concerned, you can edit your profile page and add your own pic which will show against your name. The other avatars that reflect against your name is a default one and may keep on changing from time to time.

Thanks

gmakerley · Posted: Fri Apr 01, 2011 9:15 am Post subject:

Video1, it's been a while since I've been online here...sorry if I'm too late to help with this:

the guy you're talking about who's going to pay your debts, lease the house, and then buy it is undoubtedly a scam artist.
As Clark Howard consistently says, "If it sounds too good to be true, then it probably isn't real." (or words to that effect).

Company	Loan Type	APR	Est. Pmt.
				Go
				Go
				Go
				Go
				Go
				Go

Compare Mortgage Quotes

need help with deed in lieu when 1st and 2nd mtg. are help by same lender

Bookmark this page

Helpful References

Calculators

Financial Tools

Our Community

Community Rewards

Followers (252)

455 People like Mortgage

Property State:
Property Type:
Credit Rating:

All times are GMT - 7 Hours

Page 1 of 1