I had a short sale on my house. now I have a colection co. wanting money.can they lean my retirement home. I am retired

My primary resident I had for sale 3 yrs.and didn't sell, I built a retirement home that is paid for.when i retired I could no longer afford the other house. the mortgage co. either short sold, or foreciosed on the house. I've not heard from them how much the house sold for. now I have a collection co wanting 64,000.00 . I am 59 yrs old and draw retirement. can they make a claim against my home I live in now

Midway, GA -

Attorney Answers (1)

Erica Crohn Minchella

Erica Crohn Minchella

Real Estate Attorney - Skokie, IL

In order to make a "claim" against your current home, the owner of the debt for the mortgage on your other home would have to get a judgment against you and record the judgment with the recorder of deeds to create a judgment lien against your home. Once the lien is created, they can levy to collect against the lien. That action would take the retirement property out of your name.

If and when they sue you, you should talk to an attorney about whether you have any defenses to the amounts being claimed. The mere effort to collect the money by a collection company can not in and of itself create a lien against your property - it has to be based on a judgment.

This answer does not constitute legal advice and does not and is not intended to create an attorney-client relationship. The law may vary depending on the state in which you reside. It is intended only to give some direction in which to seek assistance.

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