Legal Question in Real Estate Law in Maryland

Foreclosure

My father passed away in 2007. My brother and I own 3/4 of the house, estranged sister owns 1/4. In 1998 she had my dad take out a $40,000 loan against the house that she admittedly is responsible for. In Oct. 2006 she stopped making the mortgage pymts; therefore, my dad paid them until he died. Since 6/2007 my brother and I have been making the loan pymts on the house and paying all of the bills she is 1/4 responsible for. As of 9/2008, she owes the loan of $36,000 and $8,700 in back expenses. Also, she is trying to force the sale of the house because we will not give the $$$ she wants for her share. Since 7/2007, the house has decreased in value by $25,000. Needless to say, her 1/4 worth nothing. If you do the math, she owes us $$$.

Can we foreclose on her 1/4 of the house?


Asked on 9/08/08, 2:04 pm

1 Answer from Attorneys
Robert Sher Wagshal and Sher

Re: Foreclosure

No. Only lenders who are the beneficiaries of deeds of trust can foreclose. If there is equity in the property, your remedy is to sell the property and have a court or arbitrator decide who is entitled to the proceeds, based on your scenario as outlined in your question. You may have to sue her, but unless she acknowledges her responsibility for repaying the proceeds from the '98 loan, you may not be able to hold her accountable for that.

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Answered on 9/08/08, 2:27 pm


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