Question: Last year I purchased a manufactured home on 1.25 acres. A couple of weeks ago I lost my job of 14 years and am looking for a new one. My question is that if worst comes to worst and I can no longer make my house payments, can the bank that holds the mortgage to the house put a lien on the property? The house is a 30 year loan and the property is a 5 year(with 4 left to go). The property payments are of course to a seperate company. Thanks in advance for any advice.
Answer: It never ceases to amaze me the level of incompetence with people that come to me for a loan, sometimes. They say “I have no money, my credit sucks, I don’t have a job, and I have $2,000,000 in judgments against me. Plus theres a warrant out for my arrest. I need a mortgage”
Buddy, friend, not picking on you, and I apologize.
What you signed when you got the mortgage IS A LIEN against the property. It is already there, and only goes away when you pay off the mortgage. They in 100% probability subordinated the land loan. Don’t pay, they get the land and improvements (house) I don’t know that I would jump to that conclusion. It sounds to me like the house loan is secured by the house, while the property is a seperate loan that is either secured by the property or is an unsecured loan (5 years is kind of short for a mortgage). The best thing to do is go back and re-read the paperwork from the loans. You might have to have a lawyer sort it all out. But I think that it is a legitimate question to ask how best to save your assets after you lose a job. Losing the property puts this guy in a world of hurt since he would then have no place to put the house, or at least be forced to undertake a costly house moving.
Related posts:
- Question on split land/home loan
- Home Equity Loan or Land Loan??
- Farmers Home Loan Question
- 75/15/10 split loan
- Career Change, Relocation, Home Loan Question
- Please Help, question on Home Loan Contingency
- Tax deduction for vacation home loan ?????
- 5/1 ARM question
- Difference between Home Equity loan, Second Mortgate, etc?
- Would I qualify for a home loan?
- Mortgage refinancing question
- Career Change, Relocation, Home Loan Question