Posted on: 11th Jul, 2012 09:21 pm
If you do a short sale or a have your mortgage go into foreclosure, and have to pay the deficiency, what are the typical terms? Does the bank expect full payment of the deficiency right away or do they stretch it over a specific period of time?
Hi Guest!
Welcome to forums!
It will depend upon the lender. Some lenders wants to get paid the full deficient amount immediately after the foreclosure has taken place. Other lenders may give you a repayment plan to pay off the deficient balance.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
It will depend upon the lender. Some lenders wants to get paid the full deficient amount immediately after the foreclosure has taken place. Other lenders may give you a repayment plan to pay off the deficient balance.
Feel free to ask if you've further queries.
Sussane
Hi Guest,
I agree with what Sussane has said. However, many a times, if you negotiate with your lender, he may forgive the deficient balance resulting from the property sale. In such a situation, you don't have to pay anything to the lender. However, you may have to pay taxes for the forgiven deficient balance.
Thanks
I agree with what Sussane has said. However, many a times, if you negotiate with your lender, he may forgive the deficient balance resulting from the property sale. In such a situation, you don't have to pay anything to the lender. However, you may have to pay taxes for the forgiven deficient balance.
Thanks