Ill answer again in a different way. California, the power given to the lender to sell the property may be executed by the lender or their representative, typically referred to as the trustee. If the deed of trust or mortgage contains a power of sale clause and specifies the time, place and terms of sale, then the specified procedure must be followed. CA and most likely would be found when there is a private party lending the money to purchase or finance the real property. Generally, once the court declares a foreclosure, the property will be auctioned off to the highest bidder. Using this type of foreclosure process, lenders may seek a deficiency judgement in an attempt to recoup some of their losses. Edit: If as stated below, it was done subsequent to the purchase, your liability here is more complex, and depends in part on which lien forecloses first. FC fail to cover the amount due on the HELOC, the lender can come after you for the difference, up until the statute of limitations on the debt has run.

The issue is whether the lender actually will do so. If you lack assets, it is unlikely theyll be interested in spending money to get a judgment. The senior LH, however, is still intact. Some people, if they simply cannot pay both mortgages anymore, refi or a sale wont work, then they do what they can to keep the 1st TD current.

Letting the HELOC go into arrears may force the HELOC lender to make a choice. What happens after that is the concern of the junior LH, who has to then monitor the 1st TD to protect its interest in the property.

Short Sale Dept for citi financial mortgage for about 5 years aND I am also responsible training the president of the National Short Sale Center.

They now have about 13 employees. They are a great company who helps homeowners. The first mortgage will dictate how much they will allow to go to the 2ND mortgage. Keep in miND a few things. 1500 for the 2nd, then when you call the 2nd mortgage they will say they will not take anything less than 5k. Try to get both to settle on the same amount. 2nd liens from over 100k down to 2500 before. The 2nd doesnt want to take you to foreclosure because there is no equity in your home. Realtor to relist it, maintain the property until sold, and foreclosure fees are around 40k.

Its in their best interest to take a Short Sale. Hi Josh, I use to work in the Short Sale Dept for citi financial mortgage for about 5 years and I worked for investors to help them with short sales. NEVER a reason that a person should deed their property over to an investor. Buy something in your price range or start looking at some rentals. Search for a realtor who has done a lot of short sales and list your home on the market. Lets say you do the quick claim and the investor cant work the short sale out. Today is your lucky day. Short Sale Dept for citi financial mortgage for about 5 years and I also responsible training the president of the National Short Sale Center.

They now have about 13 employees. They are a great company who helps homeowners. Yes, I have done Short Sales in the past where they will pay you a certain portion for moving expenses.

Generally, HUD does not mandate the homeowner to list the property on the market. Appraisal to confirm the offer is close the Fair Market Value. Short Sales are highly complexed.