two property forclosure

[tweetsie]

What is the name of your state (only U.S. law)? North Carolina
I have two properties. One with bank a one with wells f. If I let bank a foreclose can they thtreaten my wells fargo proprty in any way

 

[racer72]

What is the name of your state (only U.S. law)? North Carolina
I have two properties. One with bank a one with wells f. If I let bank a foreclose can they thtreaten my wells fargo proprty in any way

Yes. The creditor can sue you for the deficiency and obtain a judgment. They could then place a lein against you other property.

 

[AskLutherMills]

If the bank property sells at foreclosure at a high enough price to pay the mortgages and legal fees, then you will owe nothing to the bank. More likely, however, the bank property will sell at a level that creates a deficiency balance. This will become a judgment lien against you. That judgment lien can attach to your Wells Fargo property. If the Wells Fargo property is your personal residence you can protect it by filing a bankruptcy. Whether that bankruptcy is a chapter 7 or chapter 13 will depend on your overall financial situation.

 

[racer72]

If the bank property sells at foreclosure at a high enough price to pay the mortgages and legal fees, then you will owe nothing to the bank. More likely, however, the bank property will sell at a level that creates a deficiency balance. This will become a judgment lien against you. That judgment lien can attach to your Wells Fargo property. If the Wells Fargo property is your personal residence you can protect it by filing a bankruptcy. Whether that bankruptcy is a chapter 7 or chapter 13 will depend on your overall financial situation.

The bolded part is not true unless you are sued, which is exactly what I stated in my post. Also, a lein placed on property can be considered a secured debt and cannot be dismissed by bankruptcy.

 

[bigun]

522{f} of the bk code does provide for lein stripping if, it impairs an exemption you'd ordinarily be entitled too.
However, you don't want to let it get that far. For sure you'll have another set of legal fees and some states do make it difficult.
I assume bk is a viable option since you posted this in a bk forum. Just be ready to file if you get sued.