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I have a home in charlotte that I cannot pay for anylonger

 

Customer Question

I have a home in charlotte that I cannot pay for anylonger and want to have the bank take it over. The mortgage is about $25 k underwater. I want to know what happens if i just send the mortgage co a letter and quit paying for the house.

 

Optional Information:
State/Country relating to question: Michigan

Already Tried:
I tried to talk to the bank about a loan modification with no success. current interest rate is 7.5% and I dont live in mich any longer do to the job market. And now I have just become unemployed again.

Submitted: 326 days and 13 hours ago.
Category: Real Estate Law
Value: $49
Status: CLOSED
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Expert:  FiveStarLaw replied 326 days and 13 hours ago.

*This chat is not intended as legal advice. It is general information that may or may not apply to your situation and should not be relied upon.*


Welcome,


It is my goal to deliver information in five-star manner.


I am a licensed attorney but I am not your attorney. The law does not allow me to provide legal advice or form an attorney-client relationship on this public forum.


If at any time the information which I provide is not clear to you or does not fully answer your question, please ask me for clarification by using the reply button.


From your description, it sounds like if you just send the mortgage company a letter and quit paying for the house, the lender will foreclose and file suit to collect any unpaid amount of the loan.


When a property is foreclosed in Michigan, a judgment can be entered by the court for any amount of the loan that remains unpaid. This is called a deficiency judgment. The deficiency judgment can be used to execute on other property and wages of the borrower

It is my pleasure to provide you with legal information.


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Please let me know if I can assist you in the future by starting your new question with "For FiveStarLaw"

Customer replied 326 days and 13 hours ago.

If I have no income other than income from retirement and SS and other property I have is out of state from Mi can the courts order a judgement on that?

Accepted Answer

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Expert:  FiveStarLaw replied 326 days and 13 hours ago.


Social security and retirement funds cannot be attached for a mortgage deficiency. Therefore it appears that your Social Security retirement funds are safe.

Whether your other property is also protected depends upon what State you are now residing in, and what property you have.

I hope this helps

Expert TypeLawyer
Category: Real Estate Law
Pos. Feedback: 97.9 %
Accepts: 6884
Answered: 6/21/2012

Experience: 25 years of experience helping people like you.

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Customer replied 326 days and 13 hours ago.

My other propery is in Oklahoma and the only other income is from a retirement check and 401 k distribution. Can a court go after any of that income or the property?

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Expert:  FiveStarLaw replied 326 days and 13 hours ago.

Unfortunately the court may attach the Oklahoma property.

 
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