What happens if the property bought on a foreclosure auction has a second mortgage?
Question Details: The listing is only including the first mortgage 86k, however after performing some checks I can see that there is a second mortgage on the house 100k and additional debt for not paying community fees. If I bid on the house and win the auction, will I have to pay the rest of the debt?
Yes, you will have to pay the second mortgage and any other liens; if you do not, then those creditors (e.g. the second mortgagee) will be able for foreclose on you. To get clean title, all mortgages and liens must be paid off.
Rate This Answer:
Not Yet Rated
The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you go to AttorneyPages.com
and retain an attorney to represent you.