Property Q&A in 89119>Question Details

Miranda, Home Buyer in 89119

If a property was bought at auction (HOA foreclosed) and a Trustee Deed Upon Sale is recorded, what happens to the original mortgage?

Asked by Miranda, 89119 Mon May 21, 2012

Who is responsible...previous owner or new owner? Where in the law can this information be found?

Help the community by answering this question:

Answers

3
If the HOA foreclosures the original homeowner is responsible for the note but loses the right to live on the property.. That means he will get evicted and will have the responsibility to pay the note..
0 votes Thank Flag Link Mon Feb 24, 2014
Hi there! Here is the Nevada Revised Statute for you to review - hope this helps! Google NRS 116.31162  

Since it is quite lengthy, trying to offer a simple answer might be detrimental to you or whoever has the problem.

Please feel free to contact me if you would like additional help

Joan Bennett
Keller Williams of So. NV
Cell: 702 219-9582
0 votes Thank Flag Link Mon May 21, 2012
The proceeds from the sale first go towards the original mortgage. If there are any funds remaining they go the second lien if there is one then to any other secured lien holders. Once all secured debt has been paid any remain funds should go to the home owner. Unfortunately, in today's market the first lien holder rarely recovers enough to clear the loan amount much less leave any additional funds. Any amount insufficient to clear the first lien is a loss to the lien holder.
Web Reference: http://www.freemovehome.com
0 votes Thank Flag Link Mon May 21, 2012
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2015 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer