3 ms·
When you die, your estate still owes the money to the bank. The bank is thinking when she passes the estate will sell the house, or she'll end up needing a reti
by lordnacho 4y ago
When you die, your estate still owes the money to the bank. The bank is thinking when she passes the estate will sell the house, or she'll end up needing a retirement home and sell. Worst case if she's insolvent they'll take the house, but with a large enough down payment this won't cause a loss for the bank.
Nobody thinks an 80yo will live another 30 years btw. Queen Elizabeth is 96 but her chances of writing herself a letter are actually not even half, since annual attrition at that age is something like 20 or 30 percent. Sorry to be a downer, I don't mean to be cynical about your mom, just looking at statistics.
- throwawaymaths 4y agoNo worries, you don't seem to be appreciably more cynical about my mom than I am. I did say it's only an outside chance she lives to 110. If I had to bet on it, I'd bet against. The bank is taking a risk though, even if they did get recover with the estate, that's got to be a pain in the ass. I wonder at what point the administrative cost of getting that house resold doesn't make sense.
- lordnacho 4y agoI suspect they get a probate lawyer to just dump it off cheaply to a lucky buyer. If the equity in the house is over 20% or so it's unlikely it would sit long on the market, for instance you give a 10% discount and someone will happily get that done fast.