Q: My mother still owes a total of $270,000 on her mortgage. $100,000 of this that is from a second mortgage and has gone

A: If your mother doesn't straighten out her mortgage problems the property may end up being foreclosed before you passes away. You need to deal with the delinquent mortgage issues first before you worry about your potential inheritance. As for the inheritance, your mother needs to go and see an estate planning attorney now while she is still alive and can fix any problems. The mortgages may have clauses that accelerate the mortgages and make them payable in full when your mother is no longer alive. However if they don't know that your mother died, it may be possible to keep sending in the payments. I would have a back up plan just in case, which would mean your sister may have to qualify for a new loan using her own credit standing in order to continue to purchase the house, ie do a refinance into her name.

A: Depending on the exact language of the deed to the property, your sister may not be the sole owner of the entire property when your mother passes. If the deed does not expressly provide that the surviving owner becomes the sole owner of the property upon the first owner's death, then your mother's interest in the home will be subject to probate. If your mother has no will and no spouse, her children will equally share her interest in the home, after her creditors are paid. The deed will need to be examined by an attorney. If a family member resides in the home, federal law provides that the family member may continue to live in the home indefinitely as long as the payments are made, and the mortgage company cannot accelerate the balance due on the debt. The credit card debt in your mother's name may need to be paid from your mother's estate but not from your sister's assets.