Sunday, November 8, 2009
One of the major components of deciding whether to stay in your home or simply walk away is whether you will owe in money should you decide to walk away. In Washington State, the foreclosing lender (typically your 1st mortgage) can not pursue a deficiency judgment except under rare circumstances (a judicial foreclosure - which is extremely rare). Unfortunately, all other mortgagees & lines of credit can pursue a deficiency, however, it is possible to wipe them out by filing a Ch. 7 Bankruptcy or Ch. 13 Bankruptcy.
In sum, if you have just one mortgage, you will be able to walk away from your mortgage without owing any money. If you have multiple mortgages, the decision process will be more complicated.
For information on Washington Foreclosure Laws, please consider seeing a Washington Foreclosure Specialist.
Weitz Law Firm
Kirkland, WA 98033