Buying or Selling a Home/Mobile Home loan default

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Expert: - 1/4/2010


Question
I have defaulted on my mobile home loan in California and the home is going to foreclosure but its actually considered an eviction because its not a "stick house". My question is after they repo it and sell it, can they sue me for the difference?

Answer
Hello Joe - Let me begin by apologizing for the delay in my reply. In providing appropriate direction the following question must be determined. The fundamental difference between a Chattel loan and a Mortgage Loan is whether the mobile home (manufactured housing) has a "certificate of affixture". If the property possesses this certificate than the loan against the property is probably a Mortgage, or Promissory Note with a Deed of Trust acting as legal title. If it does not possess a certificate of affisture and possesses a "title" then this is similar to an automobile loan. This questions must be answered before anyone can provide a specific answer to your question. Regardless as to whether the loan is Chattel or a Mortgage/Note I recommend that the answer you seek be provided by an attorney, if the certificate is present an attorney with real estate specialization. Since each state has unique laws specific to that state I further recommend the attorney practice in your state. Collect all your loan information including but not limited to the name of the current lender (lenders sell loans to other entities), loan number, lender's contact information from the note, date of loan acquisition, and whether this is a primary residence (you live in the property) or if the property is an investment. There are other possible options and potential liabilities for you depending on this information. Friends and family may be less expensive but may ultimately be providing incorrect advice if they do not have hate specialization in the state in which the property is located. If you desire to remain in your home there may be other FREE Resources for you. If you possess a certificate of affixture I recommend contacting www.hud.gov and select the icon relating to finding or talking to a HUD NON-PROFIT COUNSELOR. It should then ask you to select your state, then provide you with a list of HUD Non-Profit Counselors that have been trained to ask you the appropriate questions to assist you in navigating throughout this difficult situation. There are a number of government provided programs and processes that may be options for you to better your position and prevent a repo or foreclosure. If this is a chattel loan then consult an attorney to learn what options may be available as a real estate agent has not area of specialty in that case. I know this does not specifically answer your liability question although it is necessary for you to understand what type of loan you have befoe anyone can direct you to the correct person to speak with armed with the correct information. I do hope you have considered this information helpful. Please remember I am not a real estate attorney so this is not to be considered legal advice, rather this is to be considered real estate information any experienced REALTOR should be able to provide. If you have additional questions please reply to this e-mail. - Todd C Menard.

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Todd C. Menard

Expertise

National Association of Realtors Code of Ethics and Professional Standards * Contract Questions: 05/05 Arizona Real Estate Purchase Contract, Exclusive Buyer Broker Contracts, Listing Contracts and associated contract documentation as it relates to boilerplate, covenants, contingencies, procedures and procedures. * ARMLS Arizona Regional Multiple Listing questions * Real Estate Professional Standards and Practices, Ethics, Obligations, Duties * Agency relationships in Arizona, Procurring Cause * Questions typicaly arising during the listing period * Questions typically arising during the escrow period * Questions about working with a real estate agent/REALTOR * Questions Related to New Home Builders

Experience

National Association of REALTORS Board of Director (2011) Arizona Real Estate Salesperson License (1991-1995), Arizona Real Estate Brokers License (1995-Present), Arizona Association of REALTORS Board of Directors (2008-Present), Arizona Association of REALTORS Professional Standards Committee (2008-Present), AAR Certified NAR Code of Ethics and Professional Standards Instructor, Southeast Valley Regional Association of REALTORS President-Elect (2011) Southeast Valley Regional Association of REALTORS Board of Directors (2008, 2009), Southeast Valley Regional Association of REALTORS Grievance Committee Chairperson (1998-2007), Southeast Valley Regional Association of REALTORS Bylaws Committee (2008-Present), Southeast Valley Regional Association of REALTORS Education Committee (2008), Arizona Association of REALTORS Forms Committee - Residential Purchase Contract (2005), Arizona Association of REALTORS Forms Committee - Residential Rental Agreement (2008), Arizona Association of REALTORS Forms Committee - Buyer Broker Agreement (2009), Arizona Association of REALTORS Presidents Advisory Group, Road to Professionalism (2009), Arizona Association of REALTORS GRI Curriculum Review Committee (2009), Arizona Department of Real Estate, Commissioner's Education Advisory Group Sub-Panel B (2010) Arizona Department of Real Estate, Commissioner's Statute and License Review Committee (2007)

Organizations
National Association of REALTORS, Arizona Association of REALTORS, Arizona Real Estate Educators Association (AZREEA), Arizona Regional Multiple Listing System (ARMLS), American Notary Association, Southeast Valley Regional Association of REALTORS (SEVRAR), Southeast Valley Regional Association of REALTORS Women's Council of REALTORS (2010-Present), Phoenix Association of REALTORS (1994-2000, 2005-2009), Scottsdale Association of REALTORS (1994-2000, 2005-2009), Maricopa/Glendale Association of REALTORS (1994-2000, 2005-2009),

Publications
"Real Estate in 2008"- Lifebushido Publishing (Contributory Author), SEVRAR Magazine, Internet Crusade, RealTown ListServe, Blogger.com, Active Rain

Education/Credentials
- AAR Certified Ethics and Professional Standards Instructor, Graduate REALTOR Institute (1993), Certified Negotiation Expert (CNE), Over 100 Hours of annual real estate continuing education, Annual Ethics and Professional Standards Development Workshops as required by the National Association of REALTORS, Approx. 36 hours of NAR Code of Ethics training annually, Numerous IDW, Seminars and Train the Trainer programs, Business Management Degree - 1981

Awards and Honors
2009 REALTOR of the Year Award, Southeast Valley Regional Association of REALTORS (10,000+ Members), Double Platinum Production Award ($45,000,000 Sales Volume)- Keller Williams Realty Int'l (2001), Top 15 Sales Production Keller Williams Realty International (2001), Top 5 Sales Producation Keller Williams Realty Southwest Region (2001), Top Recruiter Award - Keller Williams Realty Int'l, SW Region (2002), Who's Who in U.S. Executive (1983), Who's Who in U.S. Real Estate Professionals (2007)

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