Grandmother on Loan and has quit claimed to Grandson -

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ejs

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Post Posted: Fri Feb 03, 2012 7:00 pm    Post subject: Grandmother on Loan and has quit claimed to Grandson -
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Grandmother purchased the property in her name only 7 years ago. Grandmother signed and filed a quit claim deed to the Grandson 3 years ago. She has the mortgage in her name only and it is in default X3 months. Can the Grandson sell the property and regain his interest (money) - he made the payments to the Grandmother and she in turn was supposed to pay the mortage?? She decided not to pay the mortgage and the Grandson and 3 children are going to have to move due to foreclosure. What are the options? The property is in Missouri.
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Icon Mini Profile jameshogg
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Post Posted: Sun Feb 05, 2012 10:51 pm    Post subject:
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Hi ejs,

The lender has the rights to foreclose the property in order to recover the debts irrespective of the fact whether or not the grandson made payments to his grandmother. In case, there is a profit from the sale of the property, the lender will give that excess amount to you.

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Icon Mini Profile smithsussane
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Post Posted: Mon Feb 06, 2012 10:15 pm    Post subject:
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Hi ejs!

Welcome to forums!

The grandson can negotiate with the lender and get the mortgage transferred in his name and then pay off all the delinquent amount to the lender. This way the grandson will be able to save the property.

Feel free to ask if you've further queries.

Sussane
Icon Mini Profile gmakerley
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Post Posted: Wed Feb 08, 2012 1:05 pm    Post subject:
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As to the grandson's ability to sell the property...yes, indeed; if he can sell the home and in so doing pay the mortgage in full, that will eliminate the foreclosure action, and if there's any profit to be made it will fall into his hands as the property owner.

Lenders do not sell properties for owners and subsequently "give that excess amount to you," as James stated.

If there is, indeed, an intent to sell the home and move on from there, then that action must take place immediately, given the pending foreclosure action. Delaying will only increase costs involved with the legal action and eliminate (likely) any profit to be had from a sale.

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