General

Couple faces foreclosure for property sold over 20 years ago

When a home is foreclosed upon it can be difficult for the owners to come to terms with the event. In addition to being hard to physically move from a property, it can be emotionally difficult as well. The ramifications are not only physical and emotional, they are also financial.

In order for someone to face foreclosure on a home, they must be the person that the house’s mortgage is attached to. An unsuspecting couple in the Orlando area is currently facing a foreclosure on a home they sold 21 years ago. This couple and readers are likely wondering how this could happen.

When the couple sold their home they transferred their assumable mortgage to the buyer. Assumable mortgages are not very common but in addition to paying much in closing costs, they also offer buyers lower rates. Though it is known that the buyer died six years ago, there is a question as to who continued to pay the mortgage until August of last year. Wells Fargo indicted that it sued the couple for foreclosure since the man’s name was listed as borrower of record. Prior to be served the papers they had not received any information regarding missing payments.

The man is concerned about the foreclosure ruining his credit. Though a reason for the mistake has not yet been identified, a paperwork error is likely to blame. Despite Wells Fargo indicating that it does not plan to pursue the claim against the man and his wife, the couple is not planning on relaxing until there are legal documents to that effect in place.

Individuals facing foreclosure could benefit from working with a lawyer for a variety of reasons. While most situations are not this extreme, an attorney could still nonetheless be of assistance.

Mon Aug 27, 2:35pm