If my house was sold in foreclosure by a mortgage company who gets the profit made on the house? 12 Answers as of August 13, 2012My house was sold in a foreclosure. We financed the property for 98000.00 and it was sold, by the mortgage company for 120000.00. Who gets the money that they made money on it? Do I need to get an attorney?
Law Office of D.L. Drain, P.A. | Diane L. Drain
The simple answer to your first question is that the owner of the property gets the profit. From your description the lender was the owner. Whether you need an attorney depends on several factors: such as the state where you live and the type of debt (purchase money vs non-purchase money).
Answer Applies to: Arizona
Jay W. Moreland, P.A. | Jay W. Moreland
If I understand this question, the mortgage company gets to keep the money they made on it. If the house was sold at the foreclosure sale for more than you owed, you would be entitled to get the extra money. If the mortgage company bid $100 or some other bid less than you owed, the house became theirs assuming the sale was confirmed by the court. Once the sale was confirmed you no longer have any rights to the property or any profits it generates. You could still be liable for a deficiency if there was one, but fortunately for you that is not the case since the mortgage company sold it for a profit.
Answer Applies to: Florida
James T. Dunn PC | James T. Dunn
Excess proceeds are required to be deposited with the clerk of the court and notice given to all interested parties, (those with liens on the house and the borrower) The amt you financed is irrelevant. It is the amt you owed at the foreclosure date that counts. If you didn't pay property taxes or pmts for many months, the balance would continue to grow. Second mortgage holders, judgment creditors and others would also have claim to the excess proceeds YES, you need an attorney.
Answer Applies to: Utah
Law Offices of Christopher R. Smitherman, LLC | Christopher R. Smitherman
The sale must be to code.The lender is entitled to recover the mortgage balance with interest and penalties as well as?the expenses associated with the foreclosure itself and/or costs of repair, maintenance and/or improvement. Any excess over the aforementioned is due to be paid to the borrower who lost the property. It is likely that employing an attorney will be a necessary tool to reaching a resolution.
Answer Applies to: Alabama
LAW OFFICE OF JEFFREY Z DWORIN | JEFFREY Z DWORIN
You are entitled to any money received in excess of the loan amount. Beware that the "loan amount" includes fees, costs, accrued interest, etc. You should receive the money after the redemption period expires.
Answer Applies to: Michigan
Law Office of Anthony Roach | Anthony Allen Roach
You need to talk to an attorney. The key issue that I see is whether you are upset that the bank foreclosed, purchased the house at the trustee's sale, and later sold it for a profit. In that situation, you get nothing. On the other hand, if the house was sold at the trustee's sale to a third party, and there are excess proceeds, you may be entitled to those.
Answer Applies to: California
The Law Offices of Mark Wm. Hofgard, Esq. | Mark Hofgard
You definitely want to have an attorney review the Public Trustee's sale information. If there are "excess proceeds," the property owner is entitled to these. Many Public Trustees have this information on their websites. There will only be excess proceeds if the sale price exceeds the amount of indebtedness, plus attorneys' fees, costs, late charges, interest, and public trustee fees.
Answer Applies to: Colorado