Posted on: 07th Jan, 2011 03:48 pm
We have a reverse mortgage with Tenure monthly payments. We had a business failure and defaulted on a SBA loan. We depend on the reverse mortgage payments for basic living. Can the SBA lender get a judgement, place a lien on our home, and foreclose - effectively paying off the reverse mortgage and putting us on the streets. Is there any protection for lifetime income with a reverse mortgage that can not be taken away by another Lender?
The lender can file a lawsuit against you and get a judgment and place a lien on your property in order to recover his dues. In order to recover the dues, he can foreclose the property. If you have any retirement income or social security income, the lender will not be able to garnish it.
A Reverse Mortgage works exactly like a Reverse Mortagage in that scenario. When somebody wins a Judgement against you, they can place a lien on your home, but can't foreclose.
can I file for chapter 7 in the State of Tennessee and keep my reverse mortgage and protect my property?
hi wardo,
you can file chapter 7 and still save your property. in order to do so, you will have to reaffirm your loan when you are in chapter 7 bankruptcy filing. this will make you personally liable for the mortgage payments and if you pay the loan on time, you will be able to save the property.
thanks
you can file chapter 7 and still save your property. in order to do so, you will have to reaffirm your loan when you are in chapter 7 bankruptcy filing. this will make you personally liable for the mortgage payments and if you pay the loan on time, you will be able to save the property.
thanks
A judgement lien can be placed against your Title, but they can't foreclose.
If you ever file bankruptcy, your Tenure payments will stop, so that's not a good idea. That subject is in the Note you signed.
If you ever file bankruptcy, your Tenure payments will stop, so that's not a good idea. That subject is in the Note you signed.
