Mortgage Forum

Mike

Sorry if this has already been asked but I wanted to know if and how the laws for foreclosure applies to investment homes in CA. Does the "purchase money" law, "one action" law, and etc apply for a home that I bought as an investment (non primary resident, non owner occupied)? My personal situation is that I bought an investment condo on a 80 (primary)-10 (down)-10 (HELOC - purchase money) loan layout. Now I am "upside down" and I can't afford to keep it and I can't sell it. Bank won't consider "short sale". I have no other way out so I will be going into foreclosure. If it goes into foreclosure, what will I be left with? Does the "purchase money" rule apply? If not, does the "one action" rule apply? What will I be left to repay? The primary loan and the HELOC is from the same lender. Also, I have had a negam amount added to the initial principal on the primary loan. Will I have to repay the deficiency on the primary loan or the 2nd loan HELOC. Help.