I have a house in CA and my primary home is in TN.What will happen if I have to forclose on home in CA, will I lose my cars? my primary home? and No I did not use anything such as my cars now or my equity in home now as collateral to buy my CA house.Please let me know if you can!!
thanks
2007-08-21 07:45:07 · 8 answers · asked by Alison P 1 in Business & Finance ➔ Renting & Real Estate
You won't lose anything but the house. However, your credit will be bad. Foreclosure is looked at just like a bankruptcy.
2007-08-21 07:49:51 · answer #1 · answered by mommafrog 3 · 1⤊ 1⤋
You won't lose your primary residence or cars. For a foreclosure, that will have a huge impact on your credit score, but that is eventually repairable. Bankruptcy follows you for a number of years, and makes it real difficult to borrow money for those years. Personally, I would gamble on the foreclosure - the foreclosure sale might get the money needed to pay off the loan amount and you are in the clear. If not, a deficiency judgment MIGHT be pursued, upon which you can work something out with your lender. (Start communicating with your lender now.)
Hope this helps...
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2007-08-21 09:22:21 · answer #2 · answered by Anonymous · 0⤊ 1⤋
Why consider either? You should sell your home in California as fast as you can. Price it for 10% less than market value and it will sell immediately. If you don't have any equity try a short sale agreement with the bank. If they know you are close to foreclosure they would rather negotiate than own your house. Feel free to email with more questions. Good luck.
2007-08-21 09:01:44 · answer #3 · answered by Lori F 1 · 0⤊ 1⤋
Well I'm sure you know that both are bad options. If your house in California is foreclosed on, you won't lose anything but the house and your credit will be ruined for a very long time. Bankruptcy might be a better way to go, talk to an attorney.
2007-08-21 07:54:10 · answer #4 · answered by Anonymous · 0⤊ 1⤋
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2016-10-08 23:35:16 · answer #5 · answered by ? 4 · 0⤊ 0⤋
I don't think you can lose your cars if your house forcloses... The house the loan is on is collateral on the home morgage, not the cars or the other house.
2007-08-21 07:48:56 · answer #6 · answered by Jason 6 · 0⤊ 0⤋
HUGE ding on the credit. Personal assets will not be touched other than the house. If you have an FHA or VA loan, it will prevent you from obtaining another government backed loan, even if it is just a refinance.
2007-08-21 07:52:51 · answer #7 · answered by rojo_jojo 5 · 0⤊ 1⤋
"deed in leiu" is supposed to hurt your credit less than foreclosure. Essentially, you turn the home over to the loan company voluntarily, before falling behind on payments. To do it (for Chase) you need to send copies of tax returns, bank statements, hardship letter, etc.
2007-08-21 07:56:20 · answer #8 · answered by A Guy 7 · 0⤊ 1⤋