Hi,
It sounds to me like you are planning on making an offer to purchase a piece of property and then assign it to someone else for higher price and keep the difference. Please remember that if you make an offer on a piece of property, put down a deposit, and then the buyer you plan on assigning it to backs out, your deposit could be at risk. Also, if the seller is smart, they will ask you to provide your mortgage prequalification. They way they know that everything is okay. I will be happy help you.
Rebekah Rivers
rebekah @ringtherivers.com
850 509 7900
Owner, Keller Wiliams, Talahassee, Orange Park, Jacksonville and Panama City

good evening.......yes, they can foreclose if you are behind in payments...i assume your bk is a 7 and not a 13.....a 13 would stop a sheriff's sale, a 7 would not......all i can suggest to you is to contact the second lien holder and see if they would put all the late payments and fees in the rear of the loan and reinstate it without curing the default..........they will loose if they are junior lien position and you loose the home...depending on the ltv of the fisrt and the cltv of the second.......best of luck to you both......bob mcclure- success mortgage partners- plymouth, michigan.....

Laws in each state vary so you do need to speak to an atty. Here in WA state ( and in most) of course a 2nd or even a 3rd mortgage can foreclose, they must pay off the first with proceeds in most cases, but yes they can foreclose. As far as I know however once you start Bankruptcy proceedings foreclosure is stopped and things are handled by the trustee.

I wish you success in finding employment & your future ventures.

"can they do that when they hold only a second mortgage which was taken out after the original mortgage to purchase the house?"

Most likely yes, they can.

Any Lien holder (mortgages, mechanics' liens, unpaid taxes, etc.) may have the right to foreclose on your property, regardless of their position (first, second, third, etc.).

Whether they would gain any money from a Foreclosure Sale is another topic. The superior Lien Holders (your First Mortgage) would have to be paid first from the proceeds of the Foreclosure Auction / Sale.


However, if you are in Bankruptcy proceedings, your attorney should be able to petition the court for a stay on any Foreclosure.


That is a question that only your Attorney (or other qualified Attorney) can answer.



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Best wishes, and I hope everything works out for you,
Fred
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