Posted on: 18th Apr, 2010 07:40 am
Well my situation is that both my properties in Naples Florida are currently up for foreclosure but we are trying to file a short sale before going directly to foreclosure. My worry is that i have two cars that are totally paid off and I'm afraid that the bank will take them...Can they do this if the foreclosure or short sale goes through? Thank you so much!
Hi colombiana,
In case of a foreclosure or a short sale, you would be responsible for paying off the deficient balance resulting from the sale of the property. If you are unable to do so, the lender will have the rights to place a lien on your cars in order to recover his dues.
I would suggest you to contact your lender and apply for a deed in lieu of foreclosure. This will not only help you in getting rid of the property but you won't be responsible for the deficient balance. Thus, your cars would be safe.
In case of a foreclosure or a short sale, you would be responsible for paying off the deficient balance resulting from the sale of the property. If you are unable to do so, the lender will have the rights to place a lien on your cars in order to recover his dues.
I would suggest you to contact your lender and apply for a deed in lieu of foreclosure. This will not only help you in getting rid of the property but you won't be responsible for the deficient balance. Thus, your cars would be safe.