Posted on: 03rd Feb, 2011 04:18 pm
we claimed c7 bankruptcy in kansas in july 2008, surrendered our house, and moved out immediately. we left the utilities on and mowed the yard waiting for the discharge. the discharge was done in december of 2008. the lender called and asked us to try to sell the home ourselves and to keep the house from freezing until it was sold. we did not actively try to sell it since it was part of the bankruptcy. the lender continued to contact us. there was a second mortgage that was also listed in the bankruptcy. the 1st mortgage lender called wanting us to call the 2nd mortgage lender and ask them to release their lien on the home. again we did not do this, since we thought it was illegal. now two years after the discharge, we were trying to buy another home, but the mortgage broker told us the house is still in our names. we did take care of the yard and left utilities on through november of 2010. now we can't buy another home because the original lender has not foreclosed on the property. do we have any recourse against this lender? is there a statute of limitations on lenders to foreclose in a timely manner? we winterized the property and turned off utilities the end of november 2010.
I'm about to go through the exact same situation in NY. My attorney tells me that the bankruptcy trustee throws out the second lien holder and the first mortgage gets satisfied with whatever is left over. You may want to follow up with your attorney for an explanation. That is what you paid him for. Let us know what they say.
Hi Guest and nelsonrodriguez,
The first lender has to sell off the property in order to release you from the property and the mortgage debt. I hope you haven't reaffirmed the mortgage. In such a situation, you won't be liable for paying off the deficient balance. You should contact your first lender and ask him to take steps in order to sell off the property.
Thanks
The first lender has to sell off the property in order to release you from the property and the mortgage debt. I hope you haven't reaffirmed the mortgage. In such a situation, you won't be liable for paying off the deficient balance. You should contact your first lender and ask him to take steps in order to sell off the property.
Thanks
Our bankrupty lawyer was no help. He said it was all taken care of and it isn't! I am seeing another attorney Monday. He is surprised it has went on so long and will look for a solution to help us get into a home of our own asap. Here is the thing, I know we are respnsible for the property as far as city codes go, etc. The original lender continues to contact us about our "account". I find this all so strange. We may talk to the lawyer about trying to get the property back for the amount of the 1st mortgage. Wonder if that is possible?
Thanks James.....I haven't filed yet, but i thought a discharge freed you from all obligations regarding the house, including upkeep. Doesn't the BK Trustee assume all that? My attorney did not mention that the house needs to be sold for me to be released. To make my situation more challenging, my house was damaged by a fire that the insurance company will not cover! And i don't think the bank knows about it yet!
Hi Guest,
If you haven't reaffirmed the mortgage, then the lender cannot contact you for a discharged debt. Nevertheless, he can foreclose the property and recover as much dues as possible.
To Nelsonrodriguez,
If the property remains in your name even after the discharge, then you'll be liable for the upkeep. You won't get a discharge from the upkeep of the property.
Thanks
If you haven't reaffirmed the mortgage, then the lender cannot contact you for a discharged debt. Nevertheless, he can foreclose the property and recover as much dues as possible.
To Nelsonrodriguez,
If the property remains in your name even after the discharge, then you'll be liable for the upkeep. You won't get a discharge from the upkeep of the property.
Thanks