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Foreclosure question...

Posted on: 27th Oct, 2010 03:38 am
i currently have 2 properties and am in the process of getting one of them rented out. however with times as rough as they are now i am well aware that reliable tenants are few and far between. that being said, if i weren't able to keep a steady renter in the property i would undoubtedly have to foreclose on it. this brings me to me questions:

1.) in the state of arizona, would the lender be able to pursue me for any fees in the event of a foreclosure? (i do not have any equity out on that property, and i dont have a second mortgage on it.)

2.) if i were to foreclose would anything change on my other home i currently have 2 properties and am in the process of getting one of them rented out. however with times as rough as they are now i am well aware that reliable tenants are few and far between. that being said, if i weren't able to keep a steady renter in the property i would undoubtedly have to foreclose on it. this brings me to me questions:

1.) in the state of arizona, would the lender be able to pursue me for any fees whatsoever in the event of a foreclosure? (i do not have any equity out on that property, and i dont have a second mortgage on it.)

2.) if i were to foreclose would anything change on my other home loan?

while i'm confident the answers to those questions are no, i want to be absolutely positive.?

while i'm confident the answers to those questions are no, i want to be absolutely positive.
Sorry for the above typo, doing this on an iPhone is trickier than I thought lol. To avoid confusion, here is the corrected post:

 I currently have 2 properties and am in the process of getting one of them rented out. However with times as rough as they are now I am well aware that reliable tenants are few and far between. That being said, if i weren't able to keep a steady renter in the property I would undoubtedly have to foreclose on it. This brings me to me questions:

1.) in the state of Arizona, would the lender be able to pursue me for any fees whatsoever in the event of a foreclosure? (I do not have any equity out on that property, and I dont have a second mortgage on it.)

2.) if I were to foreclose would anything change on my other home loan?

While I'm confident the answers to those questions are no, I want to be absolutely positive.
Posted on: 27th Oct, 2010 03:45 am
Hi Guest,

Arizona state laws allows the lender to pursue the borrower for the deficient balance resulting from the sale of the property. You will have to pay off the balance dues to the lender in full after the foreclosure sale is over.

If your property is foreclosed by the lender, it won't change anything on your other home loan.

Take care.
Posted on: 28th Oct, 2010 03:29 am
Thanks Sara!

I was under the impression that Arizona was an anti defiency state and that the lender could not pursue for any defiency funds. Did something change?

And if it is a fac that the lender can pursue me, are there any options I have to not be liable for the defiency?
Posted on: 28th Oct, 2010 09:40 am
Hi Guest!

Welcome to forums!

As far as I know, Arizona has anti deficiency laws. In that case, the lender will not sue you for the deficient balance resulting from the property sale.

Sussane
Posted on: 29th Oct, 2010 02:29 am
Hi Guest,

Apologies!!!... I clarified and found out that Arizona is an anti-deficiency state and the lender won't pursue you for the deficient balance resulting from the property sale.

Wish you a very happy Halloween! :-)

Take care.
Posted on: 29th Oct, 2010 02:45 am
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