Post-Foreclosure Collections on Second Mortgages
Mortgage companies routinely sell debt from foreclosed properties to collection companies. Just when many people think the worst is over, they discover that foreclosure does not mean those debts have been erased.
Collection companies can be relentless in tracking down people with unpaid property tax, second mortgages and deficiency judgments on homes that went into foreclosure.
At Suarino Law, PC in Atlanta, Georgia, we have represented dozens of clients who have been through home foreclosure. In some situations, those clients avoided a bankruptcy and moved on with their lives. In other cases, a phone call from a collection company seeking payment and interest on a second mortgage forced our clients to take further action.
Attorney Steve Suarino started this law firm after working as a collections lawyer. He has a first-hand understanding of the tactics collection companies use to collect on deficiency judgments and second mortgages.
If you have been through foreclosure and are still facing collection on unpaid mortgage debt, contact us today to see how we can help you.
Resolving Tax Issues After Foreclosure
If your foreclosure involved on investment real estate, the IRS will hold you accountable for property tax. On average, this can add up to $50,000.
The attorneys of Suarino Law can clearly explain the financial implications of a foreclosure. We have extensive experience helping people get debt relief in a wide variety of situations.
For example, we know how to develop persuasive offers in compromise and payment agreements with the IRS, outlining exactly how much a client can afford to pay.
Protecting Clients Facing Post-Foreclosure Collections
People whose primary residences were foreclosed on may not face that property tax liability, but they typically do still owe any deficiency (difference between what was owed on the property and what the lender was able to collect through foreclosure), as well as any unpaid second mortgages.
Deficiency judgments and second mortgages are typically dischargeable in Chapter 7 bankruptcy. If you have already gone through foreclosure, and qualify for Chapter 7, this could be a way to put the situation behind you once and for all.
If you are on the brink of foreclosure, stripping away a second or third mortgage through Chapter 7 could make it possible for you to afford your mortgage payments. If you do not qualify for Chapter 7, a Chapter 13 bankruptcy could still be an option. Another viable choice could be a short sale negotiated in advance with your lender.
Contact Us Today
Do not hesitate to contact us for help. During a no-hassle consultation, we will review your individual situation to help you determine the best strategy to protect your future. Contact us today to schedule a convenient appointment at our law office, which is located between the Gwinnett Mall and the Spaghetti Junction.
