Posted on: 05th Apr, 2010 03:06 pm
hi if the second mortgage forecloses on my property could my sister offer to purchase the property from the first mortgage.
Hi mkanan!
Welcome to forums!
If the second mortgage lender forecloses the property, then your sister won't be able to purchase the property from the first as the property would be sold off at an auction. However, you should note that in most cases, the second lender does not foreclose the property as they will have to satisfy the dues of the first lender. They generally charge off the loan. The account is sold off to a collection agency who is turn collect the dues.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
If the second mortgage lender forecloses the property, then your sister won't be able to purchase the property from the first as the property would be sold off at an auction. However, you should note that in most cases, the second lender does not foreclose the property as they will have to satisfy the dues of the first lender. They generally charge off the loan. The account is sold off to a collection agency who is turn collect the dues.
Feel free to ask if you've further queries.
Sussane