Property - Mortgages Flashcards
Purchase money mortgage is
The loan you use to buy the property
If you have multiple mortgages on the house which one is first to get paid back
Purchase money mortgage
Redemption
how to redeem the property
What are the two ways of redemption
equitable and statutory
Equitable redemption
period of time from the notice of the foreclosure until the foreclosure sale (even at the last second before the sale)
Can equitable redemption be waived
No, even if in the documents
Statutory redemption
period of time after the foreclosure sale until the statute says so; Not automatically given
Lien theory
when the bank gives you the money, the only have a lien but the buyer has a title
Title theory
Bank owns the title and holds the deed. Buyer only gets title when they pay off the property
What issues arise if you are in a title theory jurisdiction
issues selling the house
will sever a JT into a TIC because bank has title
Assuming a mortgage means what in terms of responsibility
The person assuming is primarily responsible
The original owner is secondarily liable under suretyship
Subject to a mortgage means what in terms of responsibility
Original owner is primarily responsible
Subject means you do not agree to pay anything, and the balance still owed is the original owners
Deed in Lieu of Foreclosure
gonna give the deed to the bank right now and give up all my ownership in the house in lieu of this whole foreclosure proceeding
Any mortgage taken after a PMM mortgage will be wiped out as long as
Notice is given
AND
They join the suit
Anything before the mortgage that is being foreclosed will make you
subject to that mortgage
