REO

[Todd]

Chrissy,

What happens to manufactured homes that are foreclosed on? That is, If my bank takes my home are they going to turnaround and sell it for what I owe them, more or less? Are they always sold?

Are their any reports or anything I can read to explain what happens to MH post foreclosure. I appreciate any and all feedback

Thanks,
Todd

[rmurray]

Lots...
The lender will take the home and sell it to the highest bidder....It will sell at some price...

You will be responsible for the balance left..plus the cost of reposession...plus the costs of the sale..

They will have the right to try to collect this money any way legal..

They can sue for a judgement..which attaches everything you own..in some states they can garnishee wages to pay judgements..In most states judgments are good for at least 10 years..some states much longer..in a few states they are good forever..I am not sure about the law in TX..

They could sell their claim to professional collection firms..they will then have all collection rights..

They can write off your loss and not expect to ever collect it...but in this case they must turn in a 1099 for income on you to the IRS for the amount of the claim..This will mean you will owe thousands on taxes..penalties and interest..

Bankruptcy can eliminate most of the above...Talk to an attorney in your area about the rules in your state...If you do not file bankruptcy...this could and probably will haunt you for many years to come..