In 1983 my ex and I purchased a home in So. Cali. In 2002, I was led to believe because I had little credit, to let him put the home in his name for refinancing. I did. After, he took out 2 more mortgages that went into default after ex disapeared. He later filed chapter 7 bankruptcy. HSBC, 2nd and 3rd mortgage forclosed, first mortgage "was" current. House was sold for 2nd and 3rd mortgage cost only at a trustee auction.
We also owned a lot together free and clear worth 80K
My divorce attorney has a temporary deed/security as third owner on the lot but this too, due to bankruptcy is frozen from being sold.
I am worried that since our home was only sold for the balance of the 2nd and 3rd mortgage that the lot we own together will be forcefully sold to make up the difference for the first mortgage which is just now going into a three month default but not forclosure. A third party who has contacted me purchased the home at auction who is not a mortgage holder.
Since only the lot is left and there are now three people on the deed of the lot, will the other two parties not involved in the bankruptcy which shares the deed automatically lose our share of the lot value to pay for his first mortgage owed on the home?
Or... will the new owner of the home sold at auction be responsible for the 1st mortgage on the home which, if that is the case, the home will be paid in full and our lot left alone?
After thought
My credit is fine since I was not responsible for the loans took out in ex's name but my share of the lot is all I have. 2 innocent parties apart from the ex's financial problems. Do innocent parties lose?
We also owned a lot together free and clear worth 80K
My divorce attorney has a temporary deed/security as third owner on the lot but this too, due to bankruptcy is frozen from being sold.
I am worried that since our home was only sold for the balance of the 2nd and 3rd mortgage that the lot we own together will be forcefully sold to make up the difference for the first mortgage which is just now going into a three month default but not forclosure. A third party who has contacted me purchased the home at auction who is not a mortgage holder.
Since only the lot is left and there are now three people on the deed of the lot, will the other two parties not involved in the bankruptcy which shares the deed automatically lose our share of the lot value to pay for his first mortgage owed on the home?
Or... will the new owner of the home sold at auction be responsible for the 1st mortgage on the home which, if that is the case, the home will be paid in full and our lot left alone?
After thought
My credit is fine since I was not responsible for the loans took out in ex's name but my share of the lot is all I have. 2 innocent parties apart from the ex's financial problems. Do innocent parties lose?
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