Question

What is NOT a consequence of foreclosure?
A. Losing the down payment and equity in a house
B. Owing the entire amount of the mortgage
C. Being unable to get another loan because of a poor credit rating
D. Being liable for the mortgage, minus the foreclosure sale price

Answer 1

Answer:

I believe the answer is B, "Owing the entire amount of the mortgage."

Explanation:

In some cases, you would only be responsible for some of the mortgage payment. For example, if the property sells for less than the balance owed on the original loan, a lender could file deficiency judgment against you in court, which would require you repay the difference.