Posted on: 20th Aug, 2008 08:51 pm
we filed bankruptcy in may of 07, it has been discharged since october of '07. we were given misinformation from our attorney in january when we said we couldn't afford our home, he said because of the bk we'd be out of the house within 30 days, not the normal foreclosure time frames. well, we moved out immediately and told our lender that. we've told them all along that we were not in the property anymore. now, all of a sudden, with an auction date set for november they are asking us if we want to do a deed in lieu of foreclosure when we actually asked them about this in march and they said not to do it. we don't know what to do now, since we have the bankruptcy, our credit is already down for a few years and we aren't worried about qualifying for another mortgage for at least 5 years. does it even make a difference at this point? does the lender benefit with one over the other? thanks so much! this has been the most frustrating year ever!
Hi johnny,
If you walkaway from the property, the lender would simply foreclose it and sell it off to recover the dues. You would be liable to pay the deficient amount to the lender. Moreover, a foreclosure would have a bad affect on your credit. Your credit score would be lowered by 250 points and it would remain on your credit report for the next 7 years. Moreover, you won't be able to apply for a mortgage for the next 2-3 years.
If you walkaway from the property, the lender would simply foreclose it and sell it off to recover the dues. You would be liable to pay the deficient amount to the lender. Moreover, a foreclosure would have a bad affect on your credit. Your credit score would be lowered by 250 points and it would remain on your credit report for the next 7 years. Moreover, you won't be able to apply for a mortgage for the next 2-3 years.
Yep thats correct
If you walk away, the lender will foreclose on the property and you may be liable to pay the deficient amount
Credit score will be really hit and this will rmeian on yoru report for 7 years
If you walk away, the lender will foreclose on the property and you may be liable to pay the deficient amount
Credit score will be really hit and this will rmeian on yoru report for 7 years
i continue paying lower than the interest of my 1st mortgage and nothing on my 2nd mortgage after my ch7 bky was discharge in aug. 2008. i didn't file for reaffirmation. if i walk away now, can the mortgage company come after me? secondly, can someone who claims that she has an ownership interest who quit claim deed in 1999 have right to go after me too after i walk away?
To answer yoru first questions, yes the mortgage compnay can go after you for the deficient amount dependign on the state you live
Abotu the other person who quit lciamed, he or she cannto go after you for anythign if you walk away from the property
Abotu the other person who quit lciamed, he or she cannto go after you for anythign if you walk away from the property
Hi Margee,
It you stop paying the dues, the lender would foreclose the property to recover the dues. He will not be able to sue you for the deficient amount as the mortgage have been discharged in bankruptcy.
If the property has been quitclaimed to you, then you're the owner of the property. The grantor will not be able to come after you once he/she has quitclaimed it.
It you stop paying the dues, the lender would foreclose the property to recover the dues. He will not be able to sue you for the deficient amount as the mortgage have been discharged in bankruptcy.
If the property has been quitclaimed to you, then you're the owner of the property. The grantor will not be able to come after you once he/she has quitclaimed it.
laid off from work and now have no job/ I did get married, and so i am going to let the mortgage take the property back. The property was dismissed 20 2005 and was not reaffirmed. my question is, my surviving parent has a bank CD and needs to have it put in my name. If i do this before the foreclosure begins, can the morrtgage co take the CD? since i have debrt has been released already, will the CD play any part of foreclosure or should I not get it put in my name?
Hi Guest,
As far as I know, your lender may not be able to garnish your CD but he can place a lien on the CD. Thus, whenever you decide to cash it in, you'll have to pay off the lender.
As far as I know, your lender may not be able to garnish your CD but he can place a lien on the CD. Thus, whenever you decide to cash it in, you'll have to pay off the lender.
If I filed chapter 7 BK including the house in the bankruptcy, and it was discharged in march.... will the forclosure ALSO show up on my credit report even after BK discharge is on the credit report? A realtor is telling me this is true and wants me to consider a short sale because they have someone interested.
Hi mitzb!
Welcome to forums!
As far as I know, though you filed for bankruptcy and got your debts discharged, the foreclosure will show up on your credit report. You can short sale the property. It will lower your credit score by 80-100 points.
Sussane
Welcome to forums!
As far as I know, though you filed for bankruptcy and got your debts discharged, the foreclosure will show up on your credit report. You can short sale the property. It will lower your credit score by 80-100 points.
Sussane
what is the difference in credit score going down between foreclosure or short sale? is the 80-100 points of short sale or foreclosure?
Hi mitzb!
Welcome back to forums!
A short sale would reduce your credit score by 80-100 points whereas a foreclosure would reduce your credit score by 250 points.
Sussane
Welcome back to forums!
A short sale would reduce your credit score by 80-100 points whereas a foreclosure would reduce your credit score by 250 points.
Sussane
Now i cant make the payments.. Am I still protected by foreclosure? I had a loan mod done 6 months ago.
Welcome Tommy,
If your property has been foreclosed by the lender, then you do not own the property or the mortgage. You don't have to make any payments. You're free from any liability regarding the property.
If your property has been foreclosed by the lender, then you do not own the property or the mortgage. You don't have to make any payments. You're free from any liability regarding the property.
Hi,
We filed for Chapter7 in 2009 and was discharged. We tried short sale on our house but second loan won't co-operate (BofA). We just receive a notice of foreclosure. We live in California can the second loan go after us? we did not reaffirm on the first and second loan. Please help. Husband out of work for more than a year now.
We filed for Chapter7 in 2009 and was discharged. We tried short sale on our house but second loan won't co-operate (BofA). We just receive a notice of foreclosure. We live in California can the second loan go after us? we did not reaffirm on the first and second loan. Please help. Husband out of work for more than a year now.
hi marajun!
welcome to forums!
the second mortgage lender can foreclose the property for non-payment of the dues. however, they won't be able to come after you for the deficient balance. moreover, after foreclosure, they will have to satisfy the dues of the first lender before satisfying their own dues.
feel free to ask if you've further queries.
sussane
welcome to forums!
the second mortgage lender can foreclose the property for non-payment of the dues. however, they won't be able to come after you for the deficient balance. moreover, after foreclosure, they will have to satisfy the dues of the first lender before satisfying their own dues.
feel free to ask if you've further queries.
sussane