- Joined
- Oct 18, 2010
- Messages
- 2
Alright, here is my situation. I`ve joined the forum in hopes of getting some insight and questions answered regarding my situation. Any help would be much appreciated.
Please reserve judgment, as the reasons why we`re in the situation are very complex, and it`s not a cut and dry case of "couldn`t pay the mortgage" or being financially irresponsible. We`re taking the position that this is a business transaction and are doing what we can do deal with it in a responsible manner that minimizes the losses of all parties.
Long story short our home is in foreclosure (British Columbia), it has just been sold via power of sale and we will be moving out in the next couple of months when the new buyer takes possession.
We have a first mortgage of approximately $300,000 and a second mortgage of $30,000. Both are insured with Genworth Financial. Considering the final sale price, and the legal costs etc, our second mortgage holder will be unlikely to see a penny from the sale. Speaking to our lender, following foreclosure our lender will seek their losses from Genworth who will cover them in full (hence the mortgage insurance).
My lawyer advised me that Genworth maintains the right to sue me for any amount they had to reimburse the lender for. Our lender says they are unaware of how Genworth will likely proceed, and has advised me not to contact them and let the chips fall as they may...
Has anybody had experience with Genworth, or insured mortgages in general, and what is the likelyhood they will attempt to recover this debt from me? I`ve been told by some that they may seek a debt it it`s a large amount (over $100k), but are more likely to write off a smaller amount (under $50k).
I`ve spoken to debt counselling and bankruptcy and legal professionals regarding what my settlement options are, should they come after me, but that`s a bridge I will have to cross when I get there.
But I have not received a straight answer as to how likely it is, that they will attempt to recover this debt.
Any answers are much appreciated.
Don`t even get my started on the whole topic of mortgage default "insurance". Insurance is not where I pay the premiums, and bear 100% of the risk.
Please reserve judgment, as the reasons why we`re in the situation are very complex, and it`s not a cut and dry case of "couldn`t pay the mortgage" or being financially irresponsible. We`re taking the position that this is a business transaction and are doing what we can do deal with it in a responsible manner that minimizes the losses of all parties.
Long story short our home is in foreclosure (British Columbia), it has just been sold via power of sale and we will be moving out in the next couple of months when the new buyer takes possession.
We have a first mortgage of approximately $300,000 and a second mortgage of $30,000. Both are insured with Genworth Financial. Considering the final sale price, and the legal costs etc, our second mortgage holder will be unlikely to see a penny from the sale. Speaking to our lender, following foreclosure our lender will seek their losses from Genworth who will cover them in full (hence the mortgage insurance).
My lawyer advised me that Genworth maintains the right to sue me for any amount they had to reimburse the lender for. Our lender says they are unaware of how Genworth will likely proceed, and has advised me not to contact them and let the chips fall as they may...
Has anybody had experience with Genworth, or insured mortgages in general, and what is the likelyhood they will attempt to recover this debt from me? I`ve been told by some that they may seek a debt it it`s a large amount (over $100k), but are more likely to write off a smaller amount (under $50k).
I`ve spoken to debt counselling and bankruptcy and legal professionals regarding what my settlement options are, should they come after me, but that`s a bridge I will have to cross when I get there.
But I have not received a straight answer as to how likely it is, that they will attempt to recover this debt.
Any answers are much appreciated.
Don`t even get my started on the whole topic of mortgage default "insurance". Insurance is not where I pay the premiums, and bear 100% of the risk.
