Legal Question in Real Estate Law in New Jersey

My mother lended money to a person whom was buying a home and as a security of her money that person placed a mortgage and a baloon paymnet note on the home they were purchasing. My mother however filed her mortgge and ballon statemnt before the bank actually signed there and as a result her mortgae and loan payment are the first lortgage and loan of record in the hall of records. They person whom borrowed the money stopped making payments on the home and the bank started foreclosure procedures however due to my mothers mortgage and loan being the first of record the bank is now saying that they don't want to pay her any of the moeny that she let the borrower borrow. Please note that he borrowed the money from my mother and the bank on the same day. What are her legal rights and doesn't the bank have to pay her the money first before they can sell the home? or does she just have to walk away loosing all her money.


Asked on 4/20/10, 1:15 pm

2 Answers from Attorneys
Robert Davies The Davies Law Firm, P.A.

wow! that does not happen often, that the Bank gets beat out by a person lending money like your mom.

have her give me a call. i might be able to get her paid in full! maybe!

201 820 3460

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Answered on 4/25/10, 2:52 pm
John Corbett Corbett Law Firm LLC

Mr. Davies is close to you and will probably be able to help you. Your mother is in a very good position to get all her money and you should not let anyone talk her into anything else without the advice of a lawyer. � See also: http://info.corbettlaw.net/lawguru.htm

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Answered on 4/25/10, 5:14 pm


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