My question involves a foreclosure in the State of: Arizona
Hello, I have a condo which I intend to foreclose on. The primary mortgage is for $130,000 (Litton) with a second for $50,000 (Citi).
The second is listed as a "home equity loan". The condo was purchased "as is" so, $30k of the loan was purchase money, $20k was for home improvements, repairs & appliances (for which I have retained all of the receipts).
The purchase price was $160k with an 80/20 split + $20k in equity = $180k in loans total. Both deeds of trust include "power of sale". The condo meets the qualifications under Arizona's anti-deficiency law (ARS 33-814g) and is my primary residence.
The question is: If I foreclose, can Citi come after me for the second mortgage (home equity loan)?
Thank you very much for your response.