If you foreclose on a house in one state can they come after you if you own another house in a different state?

Question

My mother still has a mortgage on her house in Virginia and she has been trying to sell it but she has had no luck. She owns a house in Florida and she doesn't have a mortgage on it. Can the bank try to come after that house since it is already paid for? My first thought was no but now that I have given it some thought I really don't know for sure. If anyone can  answer this for me it would be great! Thanks, Kelli

Realtor in CA · Accepted Answer

The answer is maybe! If your state has a "deficiency law", yes they can come after her for the difference between the mortgage owed and the amount foreclosed on, but not specifically for the other house. It would be for just the money.

If they can sell the foreclosed home for the amount of the balance of the loan, there's no deficiency and no reason to go after the other home.

If your state has an "anti-deficiency law", (California has it) then they cannot go after her for the difference.

The easiest way to know is to call a Realtor in your area and ask them this question.

Anonymous · Answer

Yes, you assets are your assets, it does not matter what state.   hey would have trouble if her assets were outside the US, but within the US it does not matter.

They will put a lien on the property for the amount of money she owes them, plus interest.   I doubt they will be able to foreclose though, they have to wait for her to try to sell it, or finance it.

If you foreclose on a house in one state can they come after you if you own another house in a different state?

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