Someone I know is in quite the pickle. Once upon a time, they got married, bought a house, etc etc. Somewhere along the line, things went South. After a divorce, I guess they had to file bankruptcy, but that didn't last. He said the bank keeps hounding him asking him "what he wants to do". He said they even offered him cash for the keys, at least that's what it sounded like in the way that he explained it. So I asked him if I could look up his property info and see what I could see. Considering he told me he just wanted a couple grand and he would pretty much leave his house to whoever gave the money to him.
Anyways, I went onto ROAM and looked up his property and I noticed has a Deed of Trust with a Lending Company way back in 2011 for 150,000 The same date as he got the Deed from the Builder, So Im guessing that was his Original Loan. 2 years later it got assigned to chase.
A few years later, in 2015, it looks like he got Deed from his wife with the divorce, but at the same time, gave deed of trust to another Financial Corp for 111,000. So, he Cashed out a portion of his Mortgage...?
Then there's an Easement, also in 2015, (don't know if that's important) from the Water Co. I guess just stating his house was built in top of a water main.
*Side note: in 2016, our neighborhood miraculously avoided the path of a tornado, pretty much destroyed a lot of homes, around the area, jumped our area, and touched down again and went through Rowlett (neighboring city). There was hail the size of MY HEAD coming through the roof and windows. TONS of DAMAGE.
A lot of my neighbors got scammed by fake contractors for insurance money. This is what happened to my neighbor. They claimed, they fixed his roof, they didnt. it still leaked when it rained, and theres still some damage. However, the company is un-reachable. They filed a Mechanic's Lien Affidavit for $21,000 in 2017, a year after "the work" was "done". I guess the Insurance Company never paid them...? He said he can call the Insurance Company and try to get it repaired again. I told him "Whats the point if you're leaving anyway?"
Last year, 2017, There's a Modification for 159,000 for the next 30 years, so I'm guessing that replaces 1st Lien Position, am I right so far?
Coming in 2nd, is our HOA, turns out my neighbor hasn't paid his HOA Dues in about 3 years (500/year- total amount due to HOA is 1,600.00)
That leaves the 3rd. This roofing company has a 21,000 Lien against the property, but they are in 3rd Lien Position.
Starting off, I know that if the mortgage company forecloses on the house, and it sells at Auction, all Subordinate Liens get wiped out. But the main reason my neighbor started this conversation is because he REALLY doesn't want a Foreclosure on his Name. Is it possible to turn something like this into a win-win for anybody, or does The Bank just win?
My other questions are: Is it possible to:
1. Pay off the HOA Dues, and somehow use the fact that I PAID, to "buy-out" that 2nd Lien position
2. Pay that stupid Roofing Company their 21,000 and also "buy-out" their Lien Position.
3. Make some kind of agreement with my neighbor to "catch up his mortgage and make his payments on his behalf"
so thats 1600+21000+17000= $39,600+Fees and costs associated with this type of thing...
then what?
OR
Is it PLAUSIBLE that A Lien from a contractor who didn't do their job, wouldn't come back to fix it, and now has created more damage, can be "handled" or even "dismissed", if so, what are the court costs of having an attorney even attempt to do something like that?
What type of Attorney should I contact, should I choose to go down that path?
