Could a zombie mortgage put you at risk of foreclosure? Long-forgotten debt is coming back to haunt homeowners.

Jose Arzate once dreamed of a peaceful retirement in a quiet neighborhood in his hometown. A 24-year veteran of the county probation office, Arzate thought he had achieved the American Dream when he purchased a three-bedroom ranch house in Santa Maria, California, 20 years ago. 

"As an immigrant, you have a dream, a dream of owning your own home. It's your castle. It's for your family," said Arzate. 

The son of Mexican immigrants, Arzate envisioned the family home would be passed on for generations. But while he thought he was building a future for his family through equity in his home, a hidden financial nightmare was eating away at his dream.