What happens if I stop paying my second mortgage? There is not enough money to pay second I forclose?
- isis's brotherLv 71 decade agoFavorite Answer
the holder of the second mortgage then would probably have the right to take the property from you. But, may the property is not worth
what you owe any more. Maybe you can negotiate with both lenders
to reduce your payments.
Give some thought as to how you can sell them on that idea.
If the 2nd holder will have to pay the first payments, but has not
enough income from the house, he may want to walk away also.
Then the first holder would own the house and maybe have to
take a big loss to resell it. They may renegotiate.
Be careful about hiring someone to do it for you. Fees may be
very very big. And I notice you are getting fishing offers.
Fish hooks can hurt. An AARP article recently suggested
that only one out of fifty six employment/home work/job offers
was valid. 1 out of 56 !!!!Source(s): aarp, i think
- BootsLv 71 decade ago
Then they will begin foreclosure proceedings.
If the sell of the house is not enough to pay both mortgages off - then the second mortgage can sue you for the balance of their note plus the foreclosure fees.
- T ELv 71 decade ago
the 2nd mortgage company will proceed to foreclose your property, but its proceeding will be subordinated or secondary to the first mortgage company which will take a big portion, if not all, of your property when sold