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 FloridaThanks
State/Country relating to question: Florida
Working with a general attorney; not clear on process.
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. Please remember to only rate my answer when you are 100% satisfied. IF you feel the need to rate "Poor Service" or Bad Service", please stop and reply to me via the REPLY TO EXPERT button with the issue you have. I am not paid unless I get a rating of 3 to 5 Stars/Smiley Faces. If I have helped you with your question, please give me an appropriate rating so that I get credit for helping you. Thank you!Nate
Thanks. Could the living spouse "buy" the property from the state as a short sale?
Yes, that would be possible if the bank approves it.
Over 8 years of legal estate experience.
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