Posted on: 27th May, 2004 11:54 pm
Default mortgage is a failure to make mortgage payments. It is the condition that occurs, when the borrower fails to fulfill the commitment stated in the mortgage or deed of trust. It normally gives a lender the right to speed up the payments and start foreclosure.
For example, Robert took a loan of $2,000,000 from XYZ firm, by mortgaging some of his personal belongings. He was supposed to return it within the period stated in his mortgage or deed of trust, but he failed to do so. We can say that Robert is on a default now.
For example, Robert took a loan of $2,000,000 from XYZ firm, by mortgaging some of his personal belongings. He was supposed to return it within the period stated in his mortgage or deed of trust, but he failed to do so. We can say that Robert is on a default now.
Can a bank--that you have been paying a mortage t for 20 years foreclose on you for being 1 month late. I have a farm and my mortgage is 135,000---my house alone is worth 350,000.00. The Bank is now threatening me wit this prospect.
What would happen if I just walked away from my mortgage
To Beth,
The bank has the rights to foreclose the property if you do not pay the mortgage dues on time. However, lenders generally foreclose the property when you are 3 or more months late on your loan payments.
To jpenny,
If you walkaway from your property and do not pay the mortgage dues on time, then the lender will foreclose the property which will have a negative affect on your credit report. You'll be liable for paying the deficient balance as well.
The bank has the rights to foreclose the property if you do not pay the mortgage dues on time. However, lenders generally foreclose the property when you are 3 or more months late on your loan payments.
To jpenny,
If you walkaway from your property and do not pay the mortgage dues on time, then the lender will foreclose the property which will have a negative affect on your credit report. You'll be liable for paying the deficient balance as well.