Posted on: 15th Sep, 2008 11:43 pm
hi, i have 2 mortgages from the same company. 2nd loan was recently charged off and i'm making payments on the first loan. i understand that you still need to pay the 2nd mortgage to clear your title or sell your house in the future i guess. can i declare bankruptcy and avoid paying the 2nd loan charged off. will that clear my title to be able to sell the home? i can not afford the 2nd loan as the house depreciated about 35%
even if you declare bankruptcy you will still have the lien on your property so it won't accomplish anything with the second mortgage. you may be able to do a short sale in which the second mortgage holder will take less than what is owed. or you may be able to talk with them about a loan modification in order to get back on track with the payments.
You can do a loan strip with ch 13 bk if the value of the property is less than the debt of the first. I'm not guaranteeing, but it IS possible to do.
Hi mikemikemike!
Can you please explain what exactly loan strip is? It will be of great help to the community members.
Thanks,
Jerry
Can you please explain what exactly loan strip is? It will be of great help to the community members.
Thanks,
Jerry