Can they come after my elderly Dad's condo now or after he's gone?

[aepcj]

My Mom passed away in August. My Dad, without her SS income, can now no longer afford payments on this primary home in GA (2 mortgages - 95K first, 18K second, valued at more, but in poor condition and nothing selling in his community; both loans at same bank he has checking acct.), nor can he afford the upkeep and homeowner fees. Plus, it's in an isolated area and he is at risk living there alone as he is in poor health. So he is moving into a condo he owns outright in FL (value $250K, has owned for 20+ yrs) close to me, which he had been using as a vacation rental property, although he was barely breaking even on it last few years.

He will of course try and sell the GA house (in as-is condition, no $$ for repairs) as soon as possible. We have to have it cleaned out though and deep-cleaned before it can be listed and shown, which will probably be a month or two after he moves out.

But chances are it will not sell, or he'll be offered far less than he owes. And it could take years.

1. So, should he stop making the payments now, the month he moves to FL (April), a few months after it's been on the market? Needless to say, I will be helping him financially for next few months, including paying homeowner fees as don't want to deal with them putting lien on property.

2. If he ends up being foreclosed on, can they then force him to sell the condo he's living in in FL to satisfy the debt?

3. Will the bank even allow a short sale on the GA house if he's not missed a payment - i.e. he gets an offer for less than what he owes before he's had to start missing payments (cause I'm helping him at present). And how does it work with 1st and 2nd loans?

4. When he passes, will they or can they come after the condo he was living in as his primary residence in FL at time of death to satisfy the old debt in GA? That would mean I would be forced to sell it instead of inherit it, even if he does put it into a trust once he establishes residency there?

Thank you. He's a very proud 81-yr.old who is terribly upset that he may have to go into foreclosure, so am trying to make it as painless as possible for him.

[Cat Damiano]

Hi aepcj,


It would be best if you could speak with a real estate attorney that specializes in asset protection, estate planning, and foreclosure. Since the property in FL is not encumbered, you may want to speak to that attorney in FL first so that they can help your father protect that property and any other assets. You can find a reputable attorney here;

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