Nashville Deficiency Judgment Lawyers
When a bank is owed more than a property is worth, a deficiency judgment may still be brought against you, even after a foreclosure has taken place. Given the current state of the real estate market in Tennessee, many homeowners have been tempted to let their loans go into default and simply lose their homes. Referred to as strategic default, this strategy can be risky.
Due to Tennessee’s deficiency judgment laws, a lender can sue the former homeowner for the difference between the amount owed and the amount recovered through foreclosure. At the law firm of Rothschild & Ausbrooks, we will help you understand what a deficiency judgment might mean in your situation and advise you about your best legal options, including a potential bankruptcy.
Nashville Foreclosure Lawyers
Former homeowners may still be responsible for the difference between what is owed on their mortgage and what the bank is able to sell it for at auction. These ‘deficiency judgments’ can come back well after a home has been lost and can even happen to those whose banks approved them selling their homes for less than they are worth.
Whether banks are able to pursue deficiency judgments depends on a variety of factors, including the existence of second mortgages or other liens. Ignoring deficiency judgments, however, can be a huge mistake and can result in wage garnishments and tremendous debt.
Contact Us for a Free Bankruptcy Consultation
Please contact a Nashville bankruptcy attorney at Rothschild & Ausbrooks, PLLC, today to learn more about deficiency judgments in Tennessee.