Legal Rights of 2nd Mortg. Holder - Posted by Patti P.

Real Estate Investing Real Estate Law
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Posted by Bill H on November 15, 2006 at 21:55:32:

Patti:

Am not a lawyer and do not give legal advice…in this case I would strongly advise you to consult with a real estate attorney.

In general if all the property is secured by one mortgage, the present owner can do nothing to impair your position without your permission…in other words he cannot sell part of the land/buildings without your approal.

Quite naturally the first trust deed lienholder (bank) wants all their money up front…they do not and will not accept a lein that no longer covers all of the property.

Yes, from what you have posted. Anything that happens to the property will require your signing off on it.

Consult an attorney before you make any moves.

Good Luck,
Bill H

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Legal Rights of 2nd Mortg. Holder - Posted by Patti P.

Posted by Patti P. on November 14, 2006 at 10:41:54:

We hold a 2nd mortg. on a bus. & prop., we sold 16 mos ago. The current owner wants to sell 1 of 2 acres along w/ 2 of 3 bldgs. The bank (1st mortg. holder) wants all the $ from the sale to go towards the note they hold. Are we entitled to any $ towards are our note from this? And since we hold a deed on the entire property do we HAVE TO sign off on it? What are our legal rights?