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clarificaiton on my deficiency question

Posted on: 31st Jul, 2009 07:51 am
My mother had multiple properties. One went into foreclosure in the state of Michigan. Can the bank auction off the home she resides in to try and collect the remaining balance?
jade, your Mom's residence should be safe from creditors (predators?). it is within the realm of possibility that the lender in question could seek a judgment for a deficiency, which could turn into a judgment lien on that home, but she'd have plenty of time to remedy the situation before anything drastic took place.

not only that, but a home cannot be simply snatched away and sold without legal process.
Posted on: 31st Jul, 2009 08:02 am
Thank you. The property was going to be sold multiple times as a short sale with the bank willing to accept 10k as a pay off, but because they took so long, both deals didn't go through and the property went into foreclosure. She ownes multiple properties and now they are threatening to auction her vacant land and home. But I wasn't sure if it they could actually force her to auction her primary residence.
Posted on: 31st Jul, 2009 09:00 am
does she or do you have counsel? that would be wise - not free nor cheap, perhaps, but essential. you can check with legal aid society locally to see if there is free help available also. but legal advice goes a long way, and a lawyer in your pocket is definitely valuable.
Posted on: 31st Jul, 2009 09:22 am
Thank you. You've been a lot of help.
Posted on: 31st Jul, 2009 11:03 am
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