Legal Question in Real Estate Law in Ohio

Selling a house with negative equity

I own a $400,000 2 1/2 year old house with a 1st and 2nd mortgage totally about $400,000. Due to remarriage and other personal issues, I need to sell this house and downsize as my monthly budget is running about negative $1500 a month (Using credit cards to hold together) I do earn about $100,000 per year. I expect that selling expenses will run about $30,000 and I don't have the cash to cover this amount.

Question: Is there a way to approach the 2nd mortgage holder to allow me to sell the house and have them issue me a separate loan for the difference? Otherwise, I may have to go to foreclosure.

Thanks


Asked on 3/30/06, 5:04 pm

1 Answer from Attorneys

Re: Selling a house with negative equity

The second mortgage holder stands to take a hit if you have the house go to foreclosure or list it on the market. So yes, they sometimes will negotiate to take another loan on the hit they would take. You need to see an attorney immediately to get between you and the lender to facilitate the discussions.

Read more
Answered on 3/30/06, 5:15 pm


Related Questions & Answers

More Real Estate and Real Property questions and answers in Ohio