Can my current bank that is financing my 2nd home cancel my loan if I allow my first home go into forecloser?
I have a home that I want to sale but I owe more than it is currently worth with the market being so bad. I also have a home that I just bought. My 1st home have a 1st and 2nd mortgage. They are with different people. My 2nd mortgage on the 1st home is with the bank that is financing my 2nd home. If I go into forecloser with the 1st home can my bank cancel or take back the loan for the 2nd home? I know that I can do a shortsale, but even then- can they stop financing my 2nd home? Please someone help me?