I inherited property through a Will, my name is XXXXX XXXXX XXXX. The home went to foreclosure. I have been trying to get a loan modification for almost 1 year. A Chase representative has now informed me I have to assume the Note in order to go through a loan modification request. He stated because the deceased is on the Note, and I am not, therefore the Note has to be in my name to sign papers. I am the personal representative of the estate. The estate has never been served any papers.If I assume the Note, that is in default will my credit, if not already ruined by this mess, be hurt? Do you know if I could purchase as a short sale? (probably not, but thought I would ask). I secured an Attorney, had a conciliation conference last May and Chase accepted me into the loan modification, they didn't process the modification, I had to start all over. Chase recently informed me they could not work with me because I had an Attorney, so I terminated my agreement. I feel like I'm in quicksand, I can't borrow money on the property because it's in foreclosure status. Do you know any alternatives to securing the property with minimal cost and hopefully not ruining my credit? Fortunately I have a secure job and some savings through life insurance proceeds as well as putting money aside for this problem.I would have walked away but I've invested too much, and the home does have value.Lastly, there is a 2nd note that I have been paying interest only, roughly $50 monthly, through the Estate funds, which is obviously not enough to pay the mortgage payment. Should I stop paying the 2nd Note? Do you know if the Bank, which is not Chase would settle the 2nd Note for a lesser amount?
State/Country relating to question: Florida
Thanks for your question and good morning..If your name here is not on the note or notes and it sounds like it isn't you may want to walk away here or negotiate reduction..You certainly can purchase the house at foreclosure or even short sale at a much better price I would imagine.I would not agree to assume these loans unless they are favorable to you.If the house here is underwater or burdened with high debt thy cannot force you to sing onto notes.There only claim and liability is against the estate.You can certainly negotiate here because the person on the note is deceased.I would seek to negotiate reduction here if at possible.As long as you do not sign here your credit is not at risk.As I understand it you are not on any notes at the present.
I do think that the bank here would be wise to settle the second for a lesser amount since you are agreeing to assume the debt for the deceased.
If you have follow up here please ask.
Please remember to click the ACCEPT button so that I can get credit for the answer. Leaving a BONUS (tip) & POSITIVE FEEDBACK after you accept is very much appreciated--thanks again
Texas Attorney for 29 years dealing in real estate
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).