Posted on: 01st Dec, 2010 10:34 am
My husband and I purchased a home earlier this year(apr) and the owner owner financed it because she could not otherwise sell it. We paid down $14,500 and made monthly payments of $1400. My husband recently lost his job and we can no longer afford to live here. What will happen to us if we have to default on this loan? Can she sue us? Will we still be responsible for the property taxes for the months we lived in the house? Should we get an attorney? There is no way we can make another mortgage payment as we have no more money saved up. We are new at this and have no clue what to expect. Please help!
Hi jaimelou!
Welcome to forums!
If you default on the mortgage payments, then the seller can take back the property. You must have signed an owner financing agreement with the seller. Any actions against you will be taken as per the owner financing agreement. You can speak to the seller in this regard and check out if she can help you in any way.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
If you default on the mortgage payments, then the seller can take back the property. You must have signed an owner financing agreement with the seller. Any actions against you will be taken as per the owner financing agreement. You can speak to the seller in this regard and check out if she can help you in any way.
Feel free to ask if you've further queries.
Sussane
thanks for your response. if we file a chapter 7 bankruptcy can we include her with this filing also? also can we file for the taxes that will be due at the end of the year or is that exempt from chapter 7? the seller is not very nice and we are afraid she can sue us and make us pay for this house even though we cannot afford it anymore. nor can we afford a long drawn out lawsuit.
Welcome jaimelou,
You can include your owner financed property in your bankruptcy filing. However, taxes will not be discharged in your bankruptcy filing. You'll have to pay off the taxes in full.
You can include your owner financed property in your bankruptcy filing. However, taxes will not be discharged in your bankruptcy filing. You'll have to pay off the taxes in full.