questions & answers

Question: I have attempted to sell the property in AZ for a year and 6 months. Since 1/2 of this time was applied to a short sale I had 3 Realtors. I had a first mortgage and a second home equity. The second refuse to cooperate the last realtor pulled out my foreclosure is set for Nov. can the equity loan come after me for the money? Am I protected by the Anti deficiency Laws?

Answer:

I am sorry to hear of your situation, and I hope I can help. I am not sure I understand your situation entirely. This is what it sounds like to me. The bank holding your primary mortgage is foreclosing on the property. You have a home equity line of credit secured by your home.

Your question seems to be whether, after the foreclosure sale, if there is no money left over after the primary mortgage is paid to pay the home equity line, can the bank holding the home equity line come after your other assets?

If that is your question, the answer depends upon the terms of your home equity lender. Look for the word "recourse". That means they can in theory come after your personal assets. But that does not answer the question of whether the bank actually will. It is a business decision the bank will make, based on whether their expense in trying to collect will be worth the effort.