If a house is in foreclosure, is legal to take over payments.?
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I think you need to look into this more, maybe call up a mortage broker in your area.
It would be really nice if it is legal though, but other people have made good points, if you are only helping out the other person and doing nothing for your own credit, that is kind of funky! Be very careful and maybe if you get some papers have a repectable lawyer in real estate look over them. Love you momma!
MOVE TO CHICAGO!!
Why would you be stupid enough to pay a mortgage in someone else's name? That's a nightmare waiting to happen.
Tough question. No. If it's too far into foreclosure, then the answer is no. If they're "late", then yes. All mortgage companies start foreclosure the day the payment is late. They need to get rid of the proplerty as soon as possible. Lenders are not in the business of "owning" homes. A lot of these "get rich quick" schemes are based on this, and it's usually a losing situation. The key word here is 'scheme"...z
Most deeds of trust have what is called a "Due on Sale" clause that prohibits what you propose to do. Even if the loan were assumable the lender is required to be notified and appropriate paperwork releasing the original borrower from liability and requiring the assuming party to qualify is required.
Failure to comply with these conditions of the deed of trust constitutes a default and the loan can be so declared and be subject to foreclosure.
Not a good idea.
If you are talking about "assuming" a mortgage, it is like a regular sale. Qualifications, inspections and contracts.
If you are talking about a private contract, then that is what it is. A contract will outline how much you will pay, the agreed upon sale amount and interest etc. It will also outline solutions for late or non payments. Usually in this sort of transaction the deed does stay in the sellers name, and in the case of non payment the contract is void, the seller retains the property and the buyer is out what ever money he has paid to that point.
You don't usually find foreclosed homes with assumable loans, it's usually a whole new contract. If you purchase a home that was foreclosed on both the property and the mortgage will be in your name.
If you simply pick up the payments while the home is "in foreclosure" process then you are just helping the owner out and have no rights to the property.
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