In florida if I own two properties and let one go into foreclosure can the bank take the other? Separate bank
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Answer:
If there is not enough $ bid at the sheriff sale to cover the full payoff and attorneys fee, and there is a deficiency balance they can get a judgment against you that will attach to the other property. There are homestead exemption laws in Fla. for a certain amount of $ I believe it's $25k. If the other house is a rental property, and not your primary residence homestead does not apply. There are garnishment laws as well. If you are the head of household they can garnish your wages of anything over
$500 a week that you earn.
Call the lender, and see if you can enter into a forebearance agreement. If they do that you will be paying back the arrearage over a peroid of time plus your regular payment. This will stop the foreclosure.
In the mean time list it for sale for the payoff plus real estate commission.You can also try to sell it yourself for the payoff. The lender may also consider a short sale where they release the lien for less than the payoff. Check the value at yahoo real estate home gain.
Believe me they do not want the house just the $.
They can if the sale of the foreclosed house doesn't cover your debt to them. Sometimes people are known to have houses mortgaged for more than they are worth. It doesn't matter if you have are dealing with two banks because you are the common denominator and they can track what you own and attach as necessary.
If I were you I would do anything in my power to avoid the foreclosure. At the very least try to sell the property at your mortgage payoff amount (plus commissions if you use a Realtor). If you feel there isn't enough time or don't want the hassle, there is another way out. It is known as a "deed in lieu of foreclosure" where you simply hand over the deed to the bank so that they won't have to go through the expense of going through foreclosure proceedings and you can walk away from the loan altogether (knowing they won't come looking for more down the road). AND, a foreclosure won't show up on your credit report in the future.
If you have a decent amount of equity in the property, there are ways of avoiding foreclosure, especially if you catch it at least a month before and talk to a loan professional about a refinance - or just selling the home. you can e-mail me if you'd like more info at jskerrett@ffbcorp.com
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