Long shot - mortgage judgement forgiveness

[EmilieMadison]

It couldn't hurt to ask, but unless the circumstances of the foreclosure were extreme (death of spouse, etc) I dont think they will oblige. Even with extreme circumstances, you'd be hard pressed to get a foreclosure forgiveness.

[LoveTrains]

Is the judgement the difference between the sale price of the home and what you owed on the mortgage?

Example: Your home had a value of $180K left on the mortgage. Bank sells home for $160K. Judgement is $20K.

In some states (non-recourse states), the bank cannot come after you for the difference between the sale price and the mortgage value. But not all.

[agnes]

When you say a "judgement was entered against" you, does that mean the bank took you to court for the balance you owe?

Don't foreclosures fall off your report after like 7 years?

eta: I don't know how this works, so I'm just asking questions out of curiosity. 

[UnderProtest]

How much is the judgement?

[Deleted]

I think you're confusing a mortgage deficiency forgiveness with a mortgage judgment forgiveness.
If they were going to forgive the balance they wouldn't have filed the judgment
You should have had a chance in the SS process to write a letter with your circumstances asking for the deficiency to be forgiven. It varies in each state though. I'd consult an attorney.

[ladyk]

I'd speak with an attorney as well. Depending on your state, the judgment will hang out there for anywhere from 3-20 years before it drops off (if it isn't renewed). You may be able to negotiate with them on the balance.

It sounds like you lived in a 'recourse' state which means they can come after you for the difference.

[madisen]

To answer the question about applying and getting for a new loan, yes, a judgement will make things difficult. At the very least, for an FHA loan HUD (which is the more flexible between them and FNMA/FHLMC) will look to make sure it's been paid off, or there's a payment plan in place with payments being made, and the payment itself will be used to calculate your DTI for qualifying ratios.