Posted on: 17th Jun, 2010 10:40 pm
I bought a house in Florida in the spring of 2006. This was my primary residence. I lost my job and moved to Arizona in the summer of 2007. The FL house was vacant until I started to rent it in the fall of 2008. The FL is now about 1/2 the loan amount and I loose $900 per month. I am considering foreclosure. Arizona is a Non-Recourse state, Florida is not. Which state's foreclosure laws take precedence? Thank you.
Hi jdp,
As the property is located in Florida, the lender will follow the laws of that state. If you let the property go into foreclosure, then the lender will be able to come after you for the deficient balance that results from the sale of the home.
In my opinion, rather than letting the lender foreclose the property, you should apply for a deed in lieu of foreclosure. If the lender accepts your request, then you won't be liable to pay the balance dues as the lender will forgive it.
Take care.
As the property is located in Florida, the lender will follow the laws of that state. If you let the property go into foreclosure, then the lender will be able to come after you for the deficient balance that results from the sale of the home.
In my opinion, rather than letting the lender foreclose the property, you should apply for a deed in lieu of foreclosure. If the lender accepts your request, then you won't be liable to pay the balance dues as the lender will forgive it.
Take care.