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Testimonials

"I was at my wits end. I didn't know what to do. But then a friend told me about this site and I called. Thank GOD! These folks were so nice and helpful. I wanted to keep my house by refinancing but the bank and three mortgage companies said no. The foreclosure stopper team worked round the clock to find me a lender than would refinance me. Thank you so much!"

Manny Rodriguez, Baytown


"Have no fear. Ameen and team took care of all the details. Once I gave them all the information they needed, they contacted my lender, got the foreclosure stopped and found 2 lenders to refinance me and 4 investors that offered full price. I chose to sell the house and start over. But I couldn't have done it without Forclosure-Stoppers!"

Amy Sinclair, Sugarland

 

What Happens to a Mortgage after the Death of the Homeowner

The loss of a family member is difficult but it is often made even harder if they had a mortgage. This event can put a lot of stress on the family after the death of a loved one or their parents. Many people believe that debts die with the person, but this is only true if the individual does not have any assets. If they do have assets then the heirs are often held responsible for paying their debt.

Upon the death of the mortgagor, the loan balance, which consists of payments made to you or on your behalf plus the accrued interest, will become due and payable. The heirs may repay the loan balance by selling the home or they may pay off the mortgage and keep the home.

Texas is a trust state. This means that once a death occurs, the representative of the mortgagor is given the responsibility to publish a notice to creditors and set a time period for filing claims. A foreclosure cannot occur unless the trustee first files a claim with the Probate Court in the appropriate county. The claim must include a copy of the deed and the note. There is a ten-year statute of limitations for enforcing liens against the property and this must be played out until the full administration of the estate or the distribution of the property has been completed. Once this occurs, the foreclosure process is able to proceed as if the mortgagor were alive.

According to Texas law, the administration of the estate is opened within four years of the death. During this time the Probate Court is not allowed to impede the process of a sale. The state has created four separate scenarios that affect foreclosure in Texas.

1. When the will is probated and an independent executor is appointed a foreclosure sale can be deemed value if the executor is notified. In this scenario the notification of the executor is the only extra step that the mortgage company must take.

2. If the sale is held during the pending of the dependent administration the sale is valid if an Order of the Probate Court is obtained allowing the sale.

3. If there is not an administration then any sale held within the four years after the death of the mortgagor may be voided if an interested party comes forth and sets the sale aside within that four-year period.

4. When the four years have elapsed and there is no administration for the property then any sale that is held is deemed valid.

There are delays in Texas due to the four-year period. During this time, there may also be additional costs and risks that are associated with property if it is allowed to be damaged or depreciate.

During the sale stage of the foreclosure process, the heirs and interested parties must be named in the published notice. There are no laws requiring that these individuals be served with a notice, but it is appropriate to do so. These parties are able to assert the same rights of redemption in the Deed of Trust. If the mortgagor had chosen to waive his rights of redemption, then the waiver will also bind the heirs and interested parties.

 

 


WARNING: TIME IS AGAINST YOU.
If your house is scheduled for foreclosure, in Texas, you have less than 21 days to fix the situation or the house will be auctioned off. You must ACT quickly.

The fastest way we can help you is in person. If you want to contact us for a personal FREE Evaluation so we can explain your options to you, call us RIGHT NOW at 713-557-4786.


 

 

 

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