- Created: Saturday, 17 November 2012 20:50
By Ryan N. Singleton, Esq.
Over the last five years, the economic recession has created many financial difficulties for homeowners struggling to pay their mortgages. Many homeowners are frustrated by the fact that their homes are currently worth significantly less than the debt owed on their properties. Those who have filed for bankruptcy have sought different types of relief with respect to their mortgages. Some have surrendered their homes to eliminate their liability on the mortgages all together. Others have been able to work out modifications through Court-Ordered mediation. There are even those who have been able to strip their second mortgages or home equity loans all together. However, those who seek to strip such secondary liens have the burden of proving that those lenders should be treated as wholly unsecured creditors.