Legal Question in Real Estate Law in Colorado
Foreclosure options
If someone were to be notified of foreclosure on their home and had two liens on their property, then someone else offered to purchase the house at a price below the cost of the liens, who would be responsible for the remaining amount? Would the existing liens need to be paid in full before the house could be sold or would the lender be forced to claim it as a loss? If you have any information I would greatly appreciate it.
1 Answer from Attorneys
Re: Foreclosure options
Once a foreclosure action has been started, you must contact the plaintiff to reach a settlement before the property can be sold with clear title. A Sheriff's sale may wipe out liens if the sale price is not enough to pay the primary mortgagor and the other lienors, but a private sale will not wipe out liens.
Related Questions & Answers
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
