Foreclosure On First House?

Question

Recently I bought a second house and rented out the first one. Now I lost a tenant and cannot rent out first house. First house depreciated $80K from purchase price and I can't just sell it, so my options are either short-sale or foreclosure.

My question is there going to be any implication for my new second house when I will make a foreclosure on first one?

Can lender go after my new house?

Besides ruining my credit history for 7 years, what impact foreclosure will have on me?

Answer 1

do not let the foreclosure on the first one happen cause then you will have h**l to pay on second and yes the lender will go after the second and he may just get it .Do a short term sale like these house buyers on tv. It may not be very much but at least it will be sold and the problem will be gone. Good Luck

Answer 2

Instead of foreclosure ask bank about "deed in lieu".  Won't go on your credit like a foreclosure will.

http://www.hud.gov/offices/hsg/sfh/nsc/f...

Answer 3

Try not to go to foreclosure. What the bank doesn't get that is still owed----you are liable. Yes, they can go after your other home and assets. Short sale has to be okayed through the lender on this home. You need to find a real estate agent and consult your attorney. Hope this helps.