Posted on: 01st Oct, 2008 10:27 am
i was hoping someone could help me understand this scenario with a lease purchase.
1. seller owes a first and second mortage on home.
2. at closing, all rent paid by the buyer has been taken off selling price and seller pays closing costs.
3. seller pays off first mortgage; however there is a remaning balance on second mortgage.
what options are there for the seller to take care of the remaining balance due on the second mortgage?
any help is much appreciated. thanks.
1. seller owes a first and second mortage on home.
2. at closing, all rent paid by the buyer has been taken off selling price and seller pays closing costs.
3. seller pays off first mortgage; however there is a remaning balance on second mortgage.
what options are there for the seller to take care of the remaining balance due on the second mortgage?
any help is much appreciated. thanks.
gbates, you will not be able to sell this property without making payment in full to the second mortgagee. in order to convey property, you must have all liens paid in full and released.
i'd have to say there aren't too many options available - perhaps get a separate loan elsewhere to enable you to pay the second?
i'd have to say there aren't too many options available - perhaps get a separate loan elsewhere to enable you to pay the second?
Hi gbates!
Welcome to the Forums!
I agree with gmakerley that no one can sell off a property with mortgages on it. You will have to clear off all the liens on the property. Speaking about options, I think, you can take another mortgage and pay off the second loan. Then you can start paying off the new mortgage.
Feel free to ask if you have further queries.
Sussane
Welcome to the Forums!
I agree with gmakerley that no one can sell off a property with mortgages on it. You will have to clear off all the liens on the property. Speaking about options, I think, you can take another mortgage and pay off the second loan. Then you can start paying off the new mortgage.
Feel free to ask if you have further queries.
Sussane
Speaking about options, I think, you can take another mortgage and pay off the second loan. Then you can start paying off the new mortgage.
sussane, what are you referring to? the original post was referring to a purchase of the property. [/b][/u]
sussane, what are you referring to? the original post was referring to a purchase of the property. [/b][/u]