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deed in lieu of foreclosure post bankruptcy

Posted on: 18th May, 2011 02:53 pm
We got two properties (CA and CT) that were upside down and are sitting vacant since jan 2010 and Nov. 2010 respectively. we filed chap 7 in Oct 2010, got the discharge notice Feb 2011 only to find out the CA's HOA are running after us for the Oct-present dues. Called the lenders for both houses and another surprising result-the lenders haven't foreclosed the properties yet and bills are starting to pile up again. Is deed in lieu our best option now? How will this impact our chapter 7 discharge? Our lawyer advised to either to get a renter so we can pay whatever bills that comes up or do a deed in lieu? If we have the properties rented again, we don't have the resources for the maintenance/cleaning up since it's been sitting there empty for about a year now.
Hi partridge!

Welcome to forums!

You can apply for a deed in lieu of foreclosure in case of both the properties. But unless the properties are sold off, you will remain liable for the maintenance of the properties. I will suggest you to contact the lender and ask him to sell off the properties asap.

Feel free to ask if you've further queries.

Sussane
Posted on: 18th May, 2011 09:10 pm
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