What I did not make clear in my earlier answers regarding negotiating mortgage debt, is that the negotiator on the other side will expect a financial disclosure from you and your spouse. For many consumers, the disclosure works in their favor because it shows the negotiator how weak the consumer's finances are. The negotiator takes this information to the investor and explains why he or she can get only 10, 20 or 40 cents on the dollar. No one is happy, but at least there is understanding.
You are proposing to negotiate a settlement where the negotiator would be flying blind, and a smart one will not do that.
Regarding your final question, does the junior still have a claim on the property? If the lien is stripped, perhaps in a bankruptcy, then the property is not encumbered by the junior, then there is a possibility the charged-off debt may never be collected. However, if the junior is tied to a lien on the property, I see no reason why a creditor would abandon that asset.
I hope this information helps you Find. Learn & Save.