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TWO HOUSES, ONE FORECLOSURE, ONE LENDER

Posted on: 07th Feb, 2010 10:28 pm
WE LIVE IN NEVADA.
MY PRIMARY HOUSE WILL GO SOON IN FORECLOSURE.
BOUGHT IT IN 2004. LATER WE REFINANCED IT WITH CASH OUT WHICH WE USED FOR IMPROVEMENTS, POOL, ETC. THE NEW LOAN WAS INTEREST ONLY, 30 YEAR. AFTER MY HUSBAND ACCIDENT IN 2008 EVERYTHING WENT DOWN THE HILL.

WE HAVE A 2ND SMALLER HOUSE, THAT WAS OUR PRIMARY HOUSE BEFORE 2004. WHEN WE MOVE TO A "NEW" HOUSE, WE RENTED, UNTIL 3 MONTH AGO. NOW WE WILL BE MOVING TO THAT HOUSE. THE LOAN IN THIS ONE ES FIXED, 30 YEARS, WE KEEP UP WITH THE PAYMENTS. NO PROBLEMS.

NOW WE FOUND OUT THE LENDER OF OUR HOME, THAT IS, THE ONE THAT WILL GO IN FORECLOSURE IS THE SAME THAT THE OTHER SMALLER HOUSE. I WONDER IF THEY CAN PUT A LIEN IN THIS OTHER PROPERTY.
WE ARE DESPERATELY, PLEASE ADVISE,
SUE
Hi Samantha,

The lender may sell your foreclosed house to get the dues. But if there is any deficit amount still after the sell, he may ask you to pay the deficit. If you are unable to pay the deficit amount he can put a lien not only on your second house, but also on any other assets that you possess, the liquid assets too.

It is always better to get help from an attorney who can tell you about the deficiency judgment laws.
Posted on: 08th Feb, 2010 04:08 am
I am not sure if Nevada is a Homestead state but here in florida our primary residence is our homestead. Nobody can touch your homesteaded property. If you lost the other home you would probably have a lien placed on your name or recieve a 1098 from the irs.

I suggest you contact your lender to inquire about short selling the property. If you hire the right people to work on it you could avoid the judgement and keep your other home safe. I could probably refer you to someone if interested. Try to minimize your loses.
Posted on: 08th Feb, 2010 06:48 am
Yes, but if they foreclosed my primary house, then, my other house will be my homestead.
Posted on: 21st Feb, 2010 10:56 am
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