Vonore, TN asked in Collections for Tennessee

Q: I am a senior 68 years old. I need to sell a rental house.

During the 2008-2009 market crash I got into financial trouble. There are a couple of credit card company liens on the rental property of 2010. How do I handle the situation because I own 41852 on the house and cannot sell the house for what is owed to the bank and pay the judgement amount at closing. Please advise me.

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1 Lawyer Answer
Leonard Robert Grefseng
Leonard Robert Grefseng
Answered
  • Collections Lawyer
  • Columbia, TN
  • Licensed in Tennessee

A: There is no easy answer. Have you considered bankruptcy? Consult a bankruptcy attorney before making any final decision. If you already have a interested and able purchaser, you might approach the Bank about foreclosing on the house: the bank really doesn't want to own the house, and having a truly interest purchaser attend the sale assures the Bank ( and you) that the sale will bring true fair market value, and so the Bank will get paid the actual value of the collateral , the foreclosure will cut off the judgment liens and your buyer gets good title, assuming he is the high bidder. That's the only downside- a foreclosure is a public auction and you can't guarantee he will be the only bidder. If he really wants the house, the foreclosure sale maybe the only way to clear the liens.

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