2nd Home in CA in foreclosure, I'm in WA

[justsomeguy]

What is the name of your state (only U.S. law)? Washington.

First home in Washington.

Second home bought for a child in California.

The child lost their job. havn't paid mortgage in 4 months

The foreclosure proceedings are starting now.

What are options to minimize the losses?

Is it too late to discuss DEED in Liu or short sale at this point with the lender?

If we foreclose am I likely to get sued for the $200K deficiency, or will I most likely get a 1099 for like ~$50K?

Should we try to pay the bank off for the last 4 months then re-try a short-sale?

 

[nextwife]

What is the "child" doing to try to cover the payments while unemployed? Are they getting unemployment? Have they obtained a roommate or two (what I did to not default when I was unemployed)? Had they talked to their lender about any short term solutions while they are looking? Deferments? Mods? Is the "child" single or is there a partner in their life living there? Is that person working?

WHO is the borrower? Are you the borrower? If so, what has changed in YOUR situation?

Yes you could be hit for deficiency and yes, the bank will need to generate a 1099 reporting the difference between the debt and the bank's buy back price or value.

 

[justsomeguy]

What is the "child" doing to try to cover the payments while unemployed? Are they getting unemployment? Have they obtained a roommate or two (what I did to not default when I was unemployed)? Had they talked to their lender about any short term solutions while they are looking? Deferments? Mods? Is the "child" single or is there a partner in their life living there? Is that person working?

WHO is the borrower? Are you the borrower? If so, what has changed in YOUR situation?

Yes you could be hit for deficiency and yes, the bank will need to generate a 1099 reporting the difference between the debt and the bank's buy back price or value.

She is single, It's a 2BR Condo, payments are $2200/mo so unemployment will not cover it.

Her roomate recently moved out and she is not able to find one now due to her situation.

The Parent (I'm actually their friend) is the Borrower, and can not make the payments by themselves.

So is the best course of action to consult the lender and ask what they can do to extend the process while they try to find a roomate and make back payments to get up to date, then start the process to do a short sale?