Quote Originally Posted by Packman41 View Post
To Bailey:
Normally, you would not let a property be sold in foreclose IF you thought the property was worth more than the loan balance - especially, if you gave a personal guarantee to the lender.
Normally, wouldn't the holder of the note have a lien on the property if it's in default? How did it get sold?

Also, when a property gets sold, if there are any outstanding debts on it, they are listed on the closing papers. If you are the buyer and they are still on there, you are responsible for them, period. If you made a deal to get rid of them with the previous owner, then they had better not be on there when closing, otherwise it doesn't really matter what the previous owner promised, because, legally, you are responsible. Property contracts and transactions are immune from verbal agreements, everything needs to be in the closing contract or it doesn't matter.