Expert: Dick Dennis - 8/1/2006

Question
I live in Ohio. I am two payments away from having my mortgage paid in full. Ten years ago I borrowed money from family and placed a lien on my house to ensure payment of the loan in the event of my death. Once I pay the mortgage in full can I place the house on the market for sale with the existing lien on it? I would definitely agree to pay the lien in full with proceeds from the sale of the house. Is it possible to approach a sale in this manner?

Thank You
Angie D.

Answer
You could put your house on the market even now .  .  .  or later. It doesn't matter. When you get a buyer, the proceeds from the buyer's loan will pay off the lien prior to the closing. The lender and the title company will make sure the lien is paid. But if you owe more than what the house is worth on that lien, then it is a different story, Angie.

I really don't think that is the case, so I will pass on what to do about it.

I wish you well

Dick Dennis            dixiedee13@aol.com