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Foreclosure after Chapter 7 Discharge

Posted on: 18th Jan, 2009 10:44 am
My husband and I filed for bankruptcy in September 08 after I lost my job. We did this to eliminate our unsecured debt and free up the cash to continue to make our house payments. Our attorney petitioned Citi Mortgage to reaffirm our mortgage. Our bk was discharged in December and I pulled our credit report to see that the mortgage account has been closed with a zero balance and was included in our discharge. Citi has told us that we can reaffirm IF the judge reopens the case and we were told by our attorney that he will not. We can continue to live here and make payments but they will not be reported. If we are essentially "renting" our home now, we can rent something much nicer for far less (we bought at the height of the bubble in 2007 and our house is not worth almost $50K less than our mortage is for). My question is this...if we walk away can the mortgage company report a foreclosure on a loan that was already discharged? Should we do a DIL - do we even have to do that since the mortgage was discharged. We were told by our attorney that we should act quickly if we are going to give up the house so it is seen as one hit. Any help would be greatly appreciated. Thanks.
My bankruptcy was discharged in Feb 2012, I have been sent an "Arkansas Compliance Notice of Forclosure Pre-Initiation".
My question is, what is the timeline for the forclosure to be completed???
Posted on: 02nd Oct, 2012 09:58 am
Hi SCOTTp,

A foreclosure may take 90 days or more to complete.

Thanks
Posted on: 03rd Oct, 2012 01:40 am
I filed bankrupty on my Condo in Illinois, Dec. 2011,and now I lost my job and can't pay the mortgage and assessments. I want to stop paying both, will I still owe the HOA? Please help.THANKS
Posted on: 09th Nov, 2012 03:55 pm
Hi Guest,

If you are the owner of the property, then you will be liable for paying the HOA dues. If your property is sold off and transferred to the new buyer, then you won't be liable for the dues.
Posted on: 11th Nov, 2012 09:18 pm
Went through chapter 7 in 09 and was discharged oct 09.Trying to buy a home again but lenders say my 2 florida properties didn't sell until 2012 so have to wait another 3 years because they went into foreclosure,,is this true, or are there lenders that will work on the chapter 7 time frame only,,thanks bob
Posted on: 09th Feb, 2013 10:26 am
hi bob,

yes, after a foreclosure, you will have to wait for 3 years in order to get a mortgage. it would have been better if your property would have sold off immediately after the chapter 7 bankruptcy discharge.

thanks
Posted on: 10th Feb, 2013 09:59 pm
cant i fild chapter 7 a second time .
Posted on: 14th Feb, 2013 02:02 am
welcome milad,

you can file chapter 7 once in 8 years. so, if you had filed your previous chapter 7 bankruptcy filing more than 8 years back, then you can do it now again.
Posted on: 14th Feb, 2013 08:46 pm
My 2013 Chapter 7 discharge included my mortgage and past due HOA fees. I am still in the property and have not reaffirmed. I am currently seeking to move. Am I responsible for 2013 HOA fees, 2013 homeowner insurance and/or 2013 real estate taxes?
Posted on: 27th Mar, 2013 05:46 pm
Hi Guest!

Welcome to the forums!

I don't think you will be liable for 2013 HOA fees, 2013 homeowner insurance and/or 2013 real estate taxes. However, you should still have a word with your bankruptcy attorney and take his opinion in this regard.

Feel free to ask if you've further queries.

Sussane
Posted on: 27th Mar, 2013 11:21 pm
I went through chap 7 for my debt. Did not include my home, tried to work out restructure with my lender to no avail. I have a first and a second with the same lender. What are my tax liabilities for next year
Posted on: 20th May, 2013 04:41 pm
Hi Ricky!

Welcome to the forums!

You should contact a tax adviser and take his opinion in this regard. He will let you know about your tax liabilities.

Feel free to ask if you've further queries.

Sussane
Posted on: 20th May, 2013 10:03 pm
I am 7 months past due, and want to stay in property. It was discharged in chapter 7 1 1/2 yr ago. I want to make arrangements to pay, they say why dont I remodify mortgage? I really dont want to do this, since property is upside down. They are saying they they want to foreclose in August. An affirmation agreement, never signed as long as I was current... But got behind on payments, and dont want to move.... dECISION TIME!
Posted on: 19th Jun, 2013 08:14 am
We live in California and filed for bankruptcy in 2011. Our Chapter 7 was discharged on September 2, 2011. We did not reaffirm our property. We have been making the payments. We have the same issue as your other guest. We are $125,000 upside down. Our questions are the following: How many years after our discharge are we protected by Chapter 7? If we decided to walk away from the property would we be financially protected by the bankruptcy? What if decide to walk away 2 or 3 years from today would we still be protected? Would it be considered a second hit on our credit? Like everyone else at this time it seems we could live in a bigger and nicer house for less.
Posted on: 19th Jun, 2013 09:52 pm
hi!

welcome to the forums!

to sandy,

the lender has the rights to foreclose the property unless you pay off the dues. you may not modify the loan unless you have reaffirmed your chapter 7 bankruptcy filing. in the present situation, it will be better if you could move out of the property and let the lender surrender it.

to elizabeth,

as you haven't reaffirmed your property, it will be easier for you to walk away from the property. also, the lender will not be able to come after you for the deficient balance resulting from the sale of the property. even if you walk away from your property 2-3 years after your bankruptcy filing, you will still be protected.

feel free to ask if you've further queries.

sussane
Posted on: 19th Jun, 2013 09:58 pm
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