Posted on: 18th Dec, 2009 08:00 pm
My wife and I have a 7 year balloon which was scheduled to reset in March. Citi is the servicer and Freddie is the investor. I filed bankruptcy individually 3 years ago and discharged the mortgage. According to Citi we are unable to exercise the reset option due the discharge. I have been working with Citi for over 6months trying to get the loan modified with no success. At this point I need to consider other options.
Can I get a new loan in my name only before they foreclose on current property? If so can they put a lein on the new property if its in my name only? I am not sure what exposure we have as a married entity or individually. Any help is greatly appreciated!
Can I get a new loan in my name only before they foreclose on current property? If so can they put a lein on the new property if its in my name only? I am not sure what exposure we have as a married entity or individually. Any help is greatly appreciated!
Hi Guest!
Welcome to forums!
I guess you haven't reaffirmed the mortgage when your bankruptcy was discharged. As a result, you're not personally liable for the debt. Thus, the lender is not ready to modify your loan. You should note that as you've not reaffirmed the mortgage, you won't have to pay the balance amount resulting from the sale if the property is foreclosed upon. In that case, if you can purchase a new property before your existing home is foreclosed upon, then I don't think the lender will be able to place a lien on that property.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
I guess you haven't reaffirmed the mortgage when your bankruptcy was discharged. As a result, you're not personally liable for the debt. Thus, the lender is not ready to modify your loan. You should note that as you've not reaffirmed the mortgage, you won't have to pay the balance amount resulting from the sale if the property is foreclosed upon. In that case, if you can purchase a new property before your existing home is foreclosed upon, then I don't think the lender will be able to place a lien on that property.
Feel free to ask if you've further queries.
Sussane
Thanks so much.....you are correct the mortgage was not reaffirmed. Do you believe that the lender will pursue any deficiency with my wife....she is also on the note?
Welcome Guest,
As you haven't reaffirmed the mortgage, the lender will not be able to sue you or your wife for the deficient amount. He will simply foreclose the property and try to recover his dues.
As you haven't reaffirmed the mortgage, the lender will not be able to sue you or your wife for the deficient amount. He will simply foreclose the property and try to recover his dues.
thanks Adonis, my wife did not file bankruptcy....only myself. My guess is that still keeps her on the hook for the debt.