If your mortgage exceeds the sale price of your property your will be subject to a "Mortgage Shortfall" If you are selling your property to move to another and the shortfall is less the 2% most high street lenders can arrange a loan for your replayment of the mortgage shortfall and will not prevent you selling your property. If the % of "Shortfall" is significant some lenders will insist in you taking a secured loan, or disallow the sale of your property until some of the shortfall is paid. If you have mortgage shortfall, AND mortgage arrears it is unlikely any high street lender will allow you to sell the property and move to another. If your mortgage arrears exceed 3 months they may start repossession proceedings. In most cases if individuals financial situation allows the most cost effective way of dealing with mortgage shortfall if you intend to move and do not have adverse credit is to find the cheapest unsecured loan for the minimun required by the lender to pay off a lump sum of the mortgage which will reduce or remove any shortfall your property currently has.
The house has to be put up for sale and the profit will be divided between the children. You may also let the bank repossess the house if it has little value.
Yes, a house with a mortgage is considered an asset because it has value and can be sold for a profit.
Yes, your house is considered an asset even if you have a mortgage on it. The value of the house minus the amount owed on the mortgage is the equity you have in the property, which is an asset.
Equity is the value of your home less the amount owed on the mortgage. A home equity loan is a loan secured by the equity in your home. Your lender will use an assessment to decide your home's value and the amount of equity available to abstract. If the available equity exceeds your mortgage balance, you can use an equity loan to pay off your mortgage. If your mortgage exceeds the available equity you cannot use the equity to pay off your existing mortgage.
It means that you take out a second mortgage to help make home improvements on your house. This often raises the value of your house if you are selling it.
They now have a house with a mortgage on it. If they cannot, or do not wish to, pay the mortgage, they will have to sell the house, pay off the mortgage, and keep the remainder of the money. The mortgage holder may require you to get a new mortgage on the property, rather than assume the existing loan. You are essentially leaving them what ever value you own of the house.
The house has to be put up for sale and the profit will be divided between the children. You may also let the bank repossess the house if it has little value.
Nope. You've got an "upside down mortgage". That's what all the trouble is about.
Yes, a house with a mortgage is considered an asset because it has value and can be sold for a profit.
Yes, your house is considered an asset even if you have a mortgage on it. The value of the house minus the amount owed on the mortgage is the equity you have in the property, which is an asset.
You will be able to keep the house provided you keep making the mortgage payments. In a chpt. 13, if the 1st mortgage amount is higher than the house value, you can strip the 2nd mortgage and treat it as an unsecured creditor. If the house value is higher than the 1st mortgage, then you will need to keep paying both mortgages.
Equity is the value of your home less the amount owed on the mortgage. A home equity loan is a loan secured by the equity in your home. Your lender will use an assessment to decide your home's value and the amount of equity available to abstract. If the available equity exceeds your mortgage balance, you can use an equity loan to pay off your mortgage. If your mortgage exceeds the available equity you cannot use the equity to pay off your existing mortgage.
it will increase
A mortgage loan is obtained when one is purchasing a house. In return for using the value of the house as collateral, a mortgage company will provide a loan for the remaining balance.
it increases
The beneficiary can buy the property from the estate. That means the mortgage must be settled and the price must be market value.
It means that you take out a second mortgage to help make home improvements on your house. This often raises the value of your house if you are selling it.