hard · National Real Estate Exam financing
In a 'subject to' transaction, if the buyer defaults and the property is worth less than the debt, what is the lender's primary remedy to recover the balance from the buyer?
- Attach a general lien against all of the buyer's other real estate holdings statewide.
- File suit for specific performance to force the buyer to continue making the scheduled loan payments.
- The lender has no personal remedy against the buyer; they can only foreclose on the property.
- Sue the buyer for tortious interference with the lender's original mortgage contract with the prior owner.
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