What to do if my mother died intestate last year but her home is “under water” and the mortgage has not been paid since she died?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
What to do if my mother died intestate last year but her home is “under water” and the mortgage has not been paid since she died?
I have been sent a certified letter from a collections agency informing me that the house is being foreclosed upon. In the letter they refer to “your house” and “your mortgage.” I have nothing to do with this property. Do I need to reply to this letter, and if so, how? If not, is my credit rating in any danger?
Asked on May 14, 2014 under Estate Planning, Oregon
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 10 years ago | Contributor
If your mother died intestate, then it may well be your house--when somone dies intestate, the property will go to the children, unless there is a surviving spouse. If the property went to you, then your credit rating could be affected by a foreclosure and the bank/lender may be able to sue you for any difference between the value of the home (which is underwater) and the balance due on the loan. On the other hand, if the property has not yet been distributed to you, you could disclaim or refuse it (you can't be forced to inherit), which is probably the best thing to do under the circumstances. The key issue then, is whether the property was transferred to you or not. You should speak with an attorney who does estates work to try to sort out the status of the property and help you disclaim or refuse it, if possible.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.