sandycarreno…, Home Owner in 07501

can a bank come after my primary residence if my husband stops paying for hsi investment property?

Asked by sandycarreno22, 07501 Fri Dec 7, 2012

I own my primary home with my husband.Also, my husband has another property, an investment property, that we can't not afford anymore. He is currently not employed and even though the investemt house is rented out, it does not cover the full mortage amount. If my husband stops paying for the investment property can the bank, come and take my primary residence? please advise, I am not of the how will he lose if he defaults on the investment property.

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Note: banks are very busy right now with foreclosures and short sales... Once they have free staff and minimal distressed properties, I'll bet gold they start filing deficiency judgements... Why wouldn't they attempt to collect as much as possible for their losses?
0 votes Thank Flag Link Tue Jan 1, 2013
Contact an attorney; in theory, after foreclosure they can file a deficiency judgement against the mortgage holder to collect the difference between the mortgage amount and associated costs of foreclosure minus the amount for which the property sells for at the foreclosure sale. This is when people consider bankruptcy, unfortunately.

Before you foreclose make sure to explore all options, e.g. short sales.
0 votes Thank Flag Link Tue Jan 1, 2013
If the investment property only has your husband's name on the mortgage then only he is responsible for the mortgage payments. It is however best that if he can't make payments, then he should seek assistance to avoid foreclosure. Short sale, deed in lieu are some options.

Best of luck to you!
0 votes Thank Flag Link Sat Dec 8, 2012
Check with your attorney it may depend on the type of ownership he has.
I know many people that own multiple properties and have lost some of them to the banks and have never heard of the bank going after their other assets. I know in bankruptcy they allow you to keep your primary residence. The bank can go after your other assets but rarely do they do that.

Contact me for a free consultation I can help your husband sell the investment property. I work with a lot of investors.
0 votes Thank Flag Link Sat Dec 8, 2012
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