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Can a estate file for foreclosure? Would the survivor be liable

 
EstateLawNate's Avatar
  • Answered by:EstateLawNate
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Customer Question

Can a estate file for foreclosure? Would the survivor be liable for deceased's debt?
Providing context to the question:
- Spouse died without will
- House and mortgage is under spouse's name only
- House is upside down by 100k (counting 1st & 2nd mortgage)
- There is some medical & funerla debts
- Cash in bank is less than 75k
- Live in Florida

Thanks

 

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State/Country relating to question: Florida

Already Tried:
Working with a general attorney; not clear on process.

Submitted: 306 days and 14 hours ago.
Category: Estate Law
Value: $38
Status: CLOSED
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Expert:  EstateLawNate replied 306 days and 14 hours ago.

Thank you for your question. Be sure to go ahead and bookmark www.nateanswers.com for future questions.

The surviving spouse is not responsible for the debt, but the estate would be. Any assets would have to go to creditors first before going to any heirs. If the living spouse wishes to assume the mortgage the bank may allow it, but if she does not, she would not be liable for the debt. If the $75,000.00 was held in a joint account, that is her money and not subject to the creditors. If it is solely in his name, then that money would be available to his creditors, including the bank for any shortfall after the foreclosure sale.


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Customer replied 306 days and 13 hours ago.

Thanks. Could the living spouse "buy" the property from the state as a short sale?

Accepted Answer

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Expert:  EstateLawNate replied 306 days and 13 hours ago.

Yes, that would be possible if the bank approves it.

Expert TypeAttorney
Category: Estate Law
Pos. Feedback: 97.8 %
Accepts: 406
Answered: 7/11/2012

Experience: Over 8 years of legal estate experience.

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