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Abstract of Judgement on Foreclosed Former Owner

Posted by Mark H. on November 17, 2009 at 11:29 AM

Man, has this got me confused.

I thought that any Ab of Judgement on an individual, that predates the foreclosed mortgage (even if it is a "first")still must be paid off AFTER foreclosure in order to obtain clear title.

A title company officer I work with tells me that is not true. A general Ab of Judgement on an individual is not attached to the property - so while you cannot sell a house while an abstract of judgement is in your name, if it is foreclosed on then the new owner who buys in foreclosure is not obligated to pay off the ab of judgement creditor.

This seems to run contray to my prior understandings...help...




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