If I stop paying the 2nd mtg, how long do we have?

[ssmdem]

We owe $168K -- worth about $135K. The first mortgage is $88K. The 2nd mortgage is $80K. We're surrendering the house, but right now there is a tenant in there, and we may possibly need it for a short period ourselves. The rental income pays the first mortgage, but not the 2nd. If I stop paying the 2nd mortgage, would it still be about the same time frame as a regular foreclosure? The same bank owns both loans if that makes a difference.

[Pandora]

you're in a situation where the 1st or the 2nd can foreclose based on the value of your home and either of them being so close to the other. It all depends on where you live and how fast your bank wants the house if they think they can turn it around. You can look up the stats of how fast foreclosures are happening for your area by looking up your laws.

[iv65536]

Here are a couple options you may want to discuss with your attorney:

1. Move in after you evict the tenant by rejecting the lease (an unexpired lease is an executory contract), or

2. Cram down the second mortgage (which, IIRC, can be done in this case since it is an investment property).

Also, in which state is this property?

[ssmdem]

We're in Florida. Time-wise, I know the tenant has time to finish our her lease with no worries about having to move. Every atty I have talked to has said to keep paying the first mortgage with her rent but stop paying the second. I've continued to pay it because we weren't entirely sure if we wouldn't just move back in their ourselves. However, we're pretty certain now that we're not and that we're going to just rent ourselves for awhile. We're staying in this house and riding out the foreclosure, which will probably time it to having to be out ABOUT the time her lease is up.

However, in order to help us save up a little more money, I'm thinking we may move in there briefly - maybe 4-6 months before after she leaves. At that point we would quit paying the first mortgage as well since we are eventually surrendering the proprerty. My question was really to determine if it being a second mortgage if it would affect the timing of the foreclosure. So essentially, it's going to take the same amount of time as a foreclosure with just one note would, correct?