Say I forclosed on my Condo and I didnt pay it for 3 months and it went into forclosure. Would I be able to walk away and not have to pay anything? Or would I have to pay back the whole loan I took out? I believe I have an 80/ 20 loan, so its really two loans. And my interest rate is 7.5%...
PLEASE HELP...
2007-08-23 10:17:06 · 5 answers · asked by Hmm... 1 in Business & Finance ➔ Renting & Real Estate
No, since they forclosed on you the only thing you are out now is all the money you had put on the home initialy.
It is on your credit as a forclosure. You won't be able to buy anything for a while. Sorry.
2007-08-23 11:00:06 · answer #1 · answered by ♥ Emily ♥ 5 · 0⤊ 0⤋
If you had an 80 / 20 , you had a 20% down payment and are looking at a large loss (unless you piggybacked the 20%)
You will be liable for the difference between what the lender gets on the foreclosure sale and the outstanding balance on your loan .
If you had a real 80/20 ( you put 20% down) ,
You best get it sold to try and recover some of that 20% .
Good Luck !
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2007-08-23 17:23:34 · answer #2 · answered by kate 7 · 0⤊ 3⤋
Please don't let that happen. Call your lender right away and ask for help. Also you can call 888-995 Help. It's a counseling service approved by HUD to help folks having trouble with their mortgages. No don't walk away, you have spend thousands of dollars to own it, how could you walk away? Fight for this, even if you have to take a second job. It is worth it, to save your home, your credit history, your credit score, if only you will put forth a little more effort to keep it. It won't be easy, but call your lender now and see what they will do to work with you. And also call the other number I gave.
Hugs from Minnesota!
2007-08-23 17:25:59 · answer #3 · answered by Alterfemego 7 · 1⤊ 1⤋
No you won't have to pay any more. This will be reported on your credit as a foreclosure. You will have to move out. Don't expect to qualify for a home loan any time soon. Sorry you lost your home. That stinks!
2007-08-23 17:22:35 · answer #4 · answered by Brain 4 · 1⤊ 0⤋
if you have other assets they may try to attach esp the second note, if they do not and they forgive the debt, you will be issued a 1099 on the forgive debt, which the IRS will consider as income for this year which in turn you will have to pay taxes on
2007-08-23 17:24:19 · answer #5 · answered by goz1111 7 · 0⤊ 1⤋