Posted on: 24th Jan, 2010 07:13 pm
i have a piece of property (not my primary residence) that is nearing foreclosure for back property taxes. the property has a home equity loan on it (the loan is in my late father's name) and that is the only "mortgage" against it. what happens if the property is foreclosed upon by the county? who gets "first dibs" on the proceeds of that sale, the county or the bank that holds the equity loan? and what, if anything, am i then liable for?
Hi franzsdaughter!
Welcome to forums!
The county will receive it's share first and then rest of the amount will go to bank. If your name is on the mortgage, then you would be liable for the rest of the mortgage dues.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
The county will receive it's share first and then rest of the amount will go to bank. If your name is on the mortgage, then you would be liable for the rest of the mortgage dues.
Feel free to ask if you've further queries.
Sussane
Thanks, Sussane.
So, if the county puts the property up for auction and it sells for only the amount of the tax arrearage, the bank is out of luck for the remaining balance owed to them? My name is not on the mortgage, just the deed. My father deeded the property to me for estate planning purposes, but the equity loan is still in his name and he is now deceased. The bank can't come after me for the balance?
So, if the county puts the property up for auction and it sells for only the amount of the tax arrearage, the bank is out of luck for the remaining balance owed to them? My name is not on the mortgage, just the deed. My father deeded the property to me for estate planning purposes, but the equity loan is still in his name and he is now deceased. The bank can't come after me for the balance?
Hi Guest,
After the foreclosure, the lender would ask the present borrower of the mortgage to pay off the balance amount. If your deceased father is the borrower of the mortgage, then the lender cannot charge the dues from you.
After the foreclosure, the lender would ask the present borrower of the mortgage to pay off the balance amount. If your deceased father is the borrower of the mortgage, then the lender cannot charge the dues from you.
JUST CONTACT LENDER AND SOLVE YOUR DOUBTS.