Legal Question in Real Estate Law in Utah

forclosure
My house, in bountiful, utah is in forclosure process,I owe 155,000. 30 yr. at 6.5% my credit isnt very good at all. Paying 1,150. per month. I havent payed for six months. I lost my job six months ago. I recieved ''intent to sell'' letter in mail. ?: can I walk away with nothing to owe, or not. if so, how much? Also I own warrenty deed to one acre land in summit county. coalville auditor value is 80,000. will they come after my land? can I protect it? I would rather keep land than house.what about a short sell? or renting house out. I have lived there over 2 yrs. what is the best thing to do?

Asked on 6/04/09, 3:00 am

2 Answers from Attorneys

Randy B. Birch Attorney at Law

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Re: forclosure

Under Utah law a head of house is entitled to $20,000 equity in a residence that is exempt from taking by creditors; if married it is $40,000. you may be able to claim that exemption in the 1 acre lot. I do not know what is meant by the "Intent to sell" letter. The letter may be the lenders way of saying contact us or we will foreclose; if so, do it, as they may be willing to add the missed payment onto the end of the loan, etc.

If the lender forecloses, they have 3 months within which to file suit for a deficiency. That would be where the house is worth less than the amount owed.

I suggest you speak with a bankruptcy attorney, as they may be able to help you keep the house.

Answered on 6/09/09, 11:52 pm

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