Discuss second mortgages with other members of our forum.
Mom of Elvis --> How can you find out if the house you have a second mortgage on is current in it's payments or into foreclosu [3 replies]
trer --> How can we slow down our culture of consumerism? [1 replies]
michael s --> Umm, Do you drink this much Coffee?? [13 replies]
looking for $$$$ --> Does anyone know how Third Party Tracers (processors for Mortgage Refunds) are paid? [0 replies]
william w --> Will a second morgtage company pay off a higher 1st. mortgage? [4 replies]
Wooly CCSBSS --> Are all MPs just property developers? Get the Mortgage paid on the second home, get it all fitted out with? [7 replies]
roving_poet --> How do guys really feel about dating moms? [1 replies]
Christina W --> I am stuck with a lien on my house that I am not entitled to pay. HELP!!? [4 replies]
Jason B --> My first and second mortgage is more than my house is worth.? [6 replies]
Ja W --> Did you know that you could not post topics questioning Barack Obama on his website? [3 replies]
trer --> How can we slow down our culture of consumerism? [1 replies]
michael s --> Umm, Do you drink this much Coffee?? [13 replies]
looking for $$$$ --> Does anyone know how Third Party Tracers (processors for Mortgage Refunds) are paid? [0 replies]
william w --> Will a second morgtage company pay off a higher 1st. mortgage? [4 replies]
Wooly CCSBSS --> Are all MPs just property developers? Get the Mortgage paid on the second home, get it all fitted out with? [7 replies]
roving_poet --> How do guys really feel about dating moms? [1 replies]
Christina W --> I am stuck with a lien on my house that I am not entitled to pay. HELP!!? [4 replies]
Jason B --> My first and second mortgage is more than my house is worth.? [6 replies]
Ja W --> Did you know that you could not post topics questioning Barack Obama on his website? [3 replies]
Will a second morgtage company pay off a higher 1st. mortgage?
Posted by AMY W at: 2008-03-16 20:01:24
I owe 70,500k on my first mortgage and 35,5k on my second mortgage.My friends are telling me not to pay my second mortgage because the company will not pay off the first mortgage to seize the property because it would cost too much with the whole tanking housing market. Is this true. What could happen if I stop paying the second? Will the second mortgage company pay 70,500 and eat the 35k to foreclose on my house? I am very leery about this! My friends said they did it and it worked. I just don't know what to do. I already work two jobs and the bills are a DAILY struggle!
Posted by Patrick at: 2008-03-17 10:53:27
based upon my own experience,here is a good resource that I have good luck with and would like to share with.http://mortgage.onlineidea.info/home-mortgage-refinance.html
Posted by Jeanie at: 2008-03-16 20:13:26
Read your second mortgage it will tell you what they will do if you don't pay.
Posted by frak1a12345 at: 2008-03-16 20:35:29
You need to check on your state laws on this. Laws vary by state on this matter greatly. For example, in CA the second lien holder would immediately file fore foreclosure. they will do this because they assume that you may stop paying on the first mortgage. If the first lean holder files for foreclosure first, the second mortgage can be wiped out. Because of this, the second lien holder will try and file first which protects their rights. Some other states allow for deficiency judgments. In these states they may file fore foreclosure because they will then get to tack on all the foreclosure fees (usually around $40,000) and get the house sold at a foreclosure auction. The money collected will pay the first lien holder and whatever is left (if anything) is given to the second lien holder. If you are in a state that allows deficiency judgments they will then sue you for the remainder of what is owed. I look at it this way, why would the second mortgage holder not do anything? A judgment against you is at least a chance on collecting. A chance is better then getting nothing. Different companies will handle things differently. Don't expect what one company does to be the same thing your company does. Another thing is that if all this happens you will have a foreclosure on your records. This will be on your credit report for around 7 years. You are playing with fire.
Posted by william w at: 2008-03-16 20:13:19
With friends like that you don't need any enemies. They can and will foreclose to get whatever they can from the sale of the property. The first mortgage gets paid off first and then any left over funds are applied towards the second mortgage and finally if there is anything remaining you get it. What exactly did your friends wind up with? Are you saying they walked away from their second mortgage and nothing happened? I don't believe that.