Legal Question in Real Estate Law in California

Re: Real Estate

If you have only one loan on the property, and that lender elects to foreclose non-judicially (which is less expensive than a judicial foreclosure, and represent probably 90% or more of all foreclosures on residential property), then you can expect that you will have no further liability towards that lender. In California, we have a "one-action" rule which requires the lender to elect one of two forms of foreclosure. In return for electing the much less expensive, and less cumbersome non-judicial foreclosure, the lender waives the right to pursue the borrower for any additional funds post-foreclosure. This, however, only applies to the foreclosing lender - if there is more than one loan, since this is not your primary residence, that lender who was foreclosed-out might have the right to come after you for the loan balance. You can also expect that your credit will be adversely affected by the late payments leading up to, and ultimately the foreclosure. Finally, as this is not your primary residence, you need to consult with your CPA or Accountant to determine the potential tax consequences - both Federal and Nevada.

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Re: Real Estate

Destroyed credit, no money and no house. Work out a discounted sale, a short sale, a deed in lieu back to the lender, or a renegotiation of your loan to avoid foreclosure or you simply walking away and 'hoping' for the best.