Do extra foreclosure proceeds go to the estate or the heir? | NC

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Q: What happens to the extra foreclosure sale proceeds after the reverse mortgage is paid off—do they go to the estate or directly to the heir? A: In most cases, the extra money is “surplus” and it does not stay with the lender. It must be paid to whoever is legally entitled to the equity. When the homeowner has died, that usually means the money is collected by the estate through the qualified…