Posted on: 26th Sep, 2012 12:36 pm
in mich. property sold @ sheriff sale for $247k. i owe $240k on 1st, 40k on 2nd. i still live in the house. redemption period (i'm told) is 6 mo. i had a short sale offer before the sale (for $230k), but the bank (wells) closed my file (refused the short sale) and the sale happened. now wells says i have to re-submit short sale offer, which i am in the process of doing. investor is freddie. i truly have a hardship (divorce, i.e. child supp & alimony, & children medical bills), but my income is pretty high ($150k). the bank does not seem very motivated to work w/ me on the short sale (closed file once & it took asking multiple times/ways to get them to let me re-submit short sale app). i feel like i'm doing what i can to avoid foreclosure, but they don't want to work with me.
1) what are some of my options (e.g. deed in lieu, bk, etc.)?
2) is there a good reason that they may prefer the foreclosure - in other words do i have limited/no leverage in any negotiations anyway?
3) is there a good way to determine how likely they (wells are servicer on 1st and 2nd) are to come after me for a deficiency?
1) what are some of my options (e.g. deed in lieu, bk, etc.)?
2) is there a good reason that they may prefer the foreclosure - in other words do i have limited/no leverage in any negotiations anyway?
3) is there a good way to determine how likely they (wells are servicer on 1st and 2nd) are to come after me for a deficiency?
1. Your options are the deed in lieu, redeem the property, or short sale. Have you requested the short sale under HAFA? That is the new program for short sales
2. Yes there are many factors in decision making. One of them can be the bank will proffit more money by taking the foreclosure rather then the other alternatives.
3. The defiency only applies to mortgage states with judicial foreclosure, which sounds like applies to you. Again, its at the lenders discretion for the deficiency. Some states allow for up to 20 years for the lender to issue the deficiency.
Have you tried to contact NACA? They sometimes can help out.
2. Yes there are many factors in decision making. One of them can be the bank will proffit more money by taking the foreclosure rather then the other alternatives.
3. The defiency only applies to mortgage states with judicial foreclosure, which sounds like applies to you. Again, its at the lenders discretion for the deficiency. Some states allow for up to 20 years for the lender to issue the deficiency.
Have you tried to contact NACA? They sometimes can help out.
hi jd!
welcome to forums!
if you don't want to save the property, then you should contact your lender and apply for a deed in lieu of foreclosure. this will be a good option as you won't be liable for paying the deficient balance to the lender. this is even considered to be a better option compared to that of a foreclosure.
feel free to ask if you've further queries.
sussane
welcome to forums!
if you don't want to save the property, then you should contact your lender and apply for a deed in lieu of foreclosure. this will be a good option as you won't be liable for paying the deficient balance to the lender. this is even considered to be a better option compared to that of a foreclosure.
feel free to ask if you've further queries.
sussane
