If lender sells house for more than what is owed on mortgage

greenspun.com : LUSENET : Repossession : One Thread

If a repossesed house is sold for more than what is owed on the mortgage who gets the profit i.e. house value #60,000; mortgage of #35,000 and the house is sold for #50,000 by the lender?

-- Resource Worker (ONE_PLUS@cqm.co.uk), April 21, 1999


The customer.

Lenders try to find the customer to give them the excess, although they may deduct the costs of doing so, plus any other associated costs.

-- Lee (repossession@bigfoot.com), April 22, 1999.

The Lender is OBLIGED to hold any surplus funds for distribution, assuming that the charge does not cover any other lending or borrowing, e.g. Overdrafts etc. Keep in touch & get your money, this risk is it aint always good news!

-- Bones (dembones@ntlworld.com), October 19, 2004.

Moderation questions? read the FAQ