Does this firm strip 2nd mortgages?
:
:
-
-
There are many rules concerning the stripping of a lien. The biggest is that is isn't done in many of the districts across the USA. The second involves the equity that was in your house and then wasn't. If you were swept up in the falling prices scenario that is happening now (had equity, now don't) you don't meet the requirements to lien strip.
And Congreses did NOT give bankruptcy judges the authority to do this in bankruptcy so I think you would be wasting money on these people without much results.
To lien strip is a long and involved process -
rrockinggramma, your reply contradicts many postings I've read on this board. I'm not educated enough on this subject to comment intelligently, but my understanding was anytime a HELOC is effectively unsecured due to the value of the house being less than the 1st mortgage, then the HELOC can be stripped out.
Let me ask my own question:
My home's purchase price was 260K: 1st mortgage:225K HELOC:25K downpaymt: 10K
2005 home value was 360K: refinanced 1st mtg: 300K HELOC: 36K
2008 home value is 270K.
Will I be able to lien strip the HELOC since it is effectively unsecured? Even the 1st mtg is not full secured. I am in California.Comment
-
Comment
-
Thanks rrockinggramma for the information. I don't claim to have understood it all. I need a BK attorney to tell me in plain English (translate it into my particular scenario).
Thanks!Comment
Comment