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DrakeLAW, Lawyer
Category: Real Estate Law
Satisfied Customers: 787
Experience:  Attorney at Drake Law Firm PLC
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Can a second lien be satisfied with a settlement for lower

Customer Question

Can a second lien be satisfied with a settlement for lower the amount owed when a loan has been charged of by the bank?
JA: Where is the property located?
Customer: Hillsborough County, Florida
JA: Has any paperwork been filed?
Customer: No - we had a BK in 2011, re-established the lenders because we wanted to keep the house. The second mtg was a LOC and the bank charged it off, never received a statement since the BK. I want to see about offering a settlement for pennies on the dollar, if that make sense. Our property value is still underwater, which is why I want to settle to get us back into the right situation
JA: Anything else you want the lawyer to know before I connect you?
Customer: no
Submitted: 11 months ago.
Category: Real Estate Law
Expert:  DrakeLAW replied 11 months ago.

Hi, my name is ***** ***** I look forward to helping you, please give me a moment to review and possibly research answers to your question.

Expert:  DrakeLAW replied 11 months ago.

Yes, for sure it can, that is pretty common. So remember, you are personally discharged of the loan but the lien is still attached to the property. The debt may be with a third-party buyer now and that is who you would negotiate with.

Customer: replied 11 months ago.
Is it best to have an attorney represent us in this matter or can it be done by ourselves? What is the typical charge for something like this with an attorney?
Expert:  DrakeLAW replied 11 months ago.

I honestly do not believe having an attorney adds much in this situation unless this is just something you are not comfortable doing or particularly skilled at. Depending on the amount of back and forth, I suppose it might cost $500 to $1,500 for an attorney to handle.