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2nd mortgage has been charged off. Can lender come after me?

Posted on: 25th Nov, 2008 05:35 pm
Hello,

I live in Arizona and I have an investment property that I got behind the mortgage payments because the tenants didn't paid their rent for 8 months.I was trying to work with the banks before I was late on the payments but neither of them first or second wanted to deal with me.After I was 5 months behind the payments they wanted to talk to me and I was able to work a deal with 1st mortgage and I was thinking I will do the same with second (Chase) but today I went to Chase bank to bring the account current they told me that the account was paid off in full,after the branch manager made few phone calls I found out it was charged off and the recovery department will contact me to settle.I was very surprised because 4 days ago I spoke with a chase representative on the phone and she told me the exact amount I have to pay to bring the account current and I need to to that by the end of the month and I will be fine to start the payments again.It was never mention to me the charged off may occour.What I should do next,keep doing the first mortgage payments and move on?
Please advice what are the chances for Chase to come after me.

Thank you very much

Denisa Kaporalis
Welcome ROVANICCC,

The lender will sell off the property at it's present value. As property values have decreased to a great extent in the last few years, your lender has sold off the property at a lower price. I don't think you'll be able to recover the funds.
Posted on: 01st Jul, 2011 11:09 pm
Original mortgage for signed by four individuals...2nd mortgage taken out without out my knowledge. I am one of the four...Balloon payment was due in Feb. loan and not paid. Any recourse for me? Have a willing cash buyer, but bank is being uncooperative due to a 40 thousand difference. We live in Michigan.
Posted on: 11th Apr, 2012 04:56 pm
Hi Debjhr,

If all the other owners agree, then you can sell off the property. As far as the shortage of $40,000 is concerned, you and the other owners can pay that from your own pockets and try to sell off the property.

Thanks
Posted on: 12th Apr, 2012 10:44 pm
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