Document overload: Did you read all the papers you signed?
Real estate advice from Bob Massi
- Duration 3:45
- Date Mar 14, 2013
Real estate advice from Bob Massi
Also in this playlist...
This transcript is automatically generated
Thank you Brian buying a new house can often mean massive mounds of paperwork so what do you need to know before you actually -- your life away.
-- -- -- Real estate expert Bob -- is here with some important.
Answers to some important questions monster I've closed on a couple of houses in my lifetime and this about a thousand pages.
And nobody ever read that stuff -- and the -- of the -- you say.
I should -- a -- they say yeah you can read it if you want to but nobody does.
And that's why they count on it you know they kind of effect you're not gonna read it because you're excited about buying a house so today there's a few things that I want -- Viewers -- learn and understand so when they -- sign -- these are the consequences of it for instance in the fine print.
He's contain the answer to this.
Somebody wants to know and in -- I wanna know the answer this.
Why can a lender or representative of the -- Your mortgage holder changed the locks on your house repair lay leans board the house it's -- Because in the papers we side.
In the mortgage papers -- -- provision that says if you vacate a home if you abandon your home.
The lenders Steve has a security interest in that home so they have a right to protect act collateral based on the money they advance.
They could change the locks which a lot of our emails we get over the last couple years say that's happened.
They can repair the home they could board -- home they could do literally anything they want because the person who they advance the money to.
Has abandoned it and no longer lives there they have the right to do that.
-- got you all right.
I know a situation where a lot of families you know a period might.
Go ahead and sign house over to it a child or child to a yes it's -- yes well there's no mortgage on that so that blends this question.
Why can Olympics.
Call a -- do because of a transfer of interest to a third party.
It's what we call it due on -- and I do want sell means this doesn't he has to be sold.
Generally speaking any transfer to a third party -- that has not been approved for that underlying loan that you got that Bob got.
From the lender and you transferred to any third party and that lender finds out.
They could call that no do why.
Because that transfer read the person that got that was never approved for the underlying mortgage and therefore they have the right to call the entire -- do.
Now here's a final question for you and this is a good reason why people should actually read the paperwork there signing.
He could have what's called an acceleration clause in it -- is that and what does it do.
Most promissory notes we signed a we get a mortgage basically says if it effects you deep fault on the payment of that note.
They could accelerate the whole balance due and owing and that's what a lot of times in this foreclosure -- Steve.
Then people won't get a letter a demand acceleration letter saying.
Massey you are in deep fault of your note.
You have not paid if you don't bring it cart we will accelerate that -- entire mouth is due and owing.
These provisions were talking about the -- Steve Ramos and every single document that no matter what stage your head.
These provisions are generally there and that's why we need our viewers to understand this and they need to be explained more to the consumer.
Absolutely I mean it if -- if somebody's clothes and on a mortgage soon just ask the person who's got the -- absolutely weird acceleration clause in there.
All right good advice by the way folks at their TV land if you have housing questions you need to answer email Bob -- and FOX & Friends -- -- this -- you very much right.