Stanley,

You have a few options. First, you could offer the second lein holder more money in order to get them to waive the promisory note. However, you'll then have to convince the first lein holder to accept less money as a result. Which if the feel it's in their best financial interest to do so they probably will. You could also file bankruptcy, but I would consult a BK attorney before considering that. In most of my short sales I hold the BK over the 2nd lein holders head and tell them that if they don't release, my client will either let the foreclosure go through and they will get nothing, or they will file BK and they will get nothing. If you get a clear picture to them that is convincing enough, they will usually be happy to take their $3K and go away. Please feel free to call me if you would like to discuss.

Tim Ireland
RE/MAX All Properties
(815) 215-4018
tim@timireland.com

So this home is still vacant? Why not rent it out? What do you think it is worth right now?

Have you called to see if you could modify the loan? Then rent it out?