the bank have to foreclose?
Answers: The first mortgage holder will have notify the 2nd. The 2nd mortgage company decides whether to bid/buy the home from the 1st to collect their interest. If they do that then they own both loans, since they hold paid stale the 1st. Then 2nd will sell house as a foreclosure & receive whatever they can for it. In most cases the 2nd mortgage company loses out since foreclosures put up for sale for less than balance many times.
the first lender will notify the 2nd loan - TRY to acquire a local REALTOR who specializes in short sale to help you out. Will retrieve your credit just bit. The second mortgage or junior lien have its security interest contained by your home wiped out. They can still sue you for the money owed, get hold of a judgment against you.
Answers: The first mortgage holder will have notify the 2nd. The 2nd mortgage company decides whether to bid/buy the home from the 1st to collect their interest. If they do that then they own both loans, since they hold paid stale the 1st. Then 2nd will sell house as a foreclosure & receive whatever they can for it. In most cases the 2nd mortgage company loses out since foreclosures put up for sale for less than balance many times.
the first lender will notify the 2nd loan - TRY to acquire a local REALTOR who specializes in short sale to help you out. Will retrieve your credit just bit. The second mortgage or junior lien have its security interest contained by your home wiped out. They can still sue you for the money owed, get hold of a judgment against you.