My husband and I bought our first house May 2008..About 6 months later I lost my job and started having medical issues. We got behind but caught back up with tax return. Then our child started having medical issues and was hospitalized. With all the medical bills we started falling behind again. We have been trying to get a loan modification for almost a year but it has been quite the battle. We do not make enough for the obama program! Which is BS! Now here we are 6 payments behind and the foreclosure process started. With the help of a pro we finally got approved for a loan mod so the foreclosure was put on hold then today we finally found out the amount of our loan mod payment and it’s only less. We needed it to be about 0 less. I am wondering about just doing a shortsell? The loan mod guy told us. We could put it on the market for a short sell and stay here for free while it’s on the market and that would stop the foreclosure. He said he dosen’t think it will shortsell but while it’s up for it. He could keep trying on the loan mod. Does anyone know much about this? Is a shortsell better then foreclosure? Will we still end up paying money to the morgagae company? Will we ever be able to buy a house again? and lastly Could a bankruptcy help in anyway?
Haha Thanks I realize it’s short sale! I’m just looking for some help on my issue not spelling though.

Technorati Tags: bankruptcy, first house, Foreclosure, haha, job, Loan Modification, medical bills, medical issues, money, tax return

My mother in law bought the house I lived in with my husband and family in 1996. She died in 2004, and my husband inherited her property. A friend of his told my husband that until you settle the estate through the courts, you don’t have to make the house payments. HA, HA, that wasn’t true. So my dumb husband does not make the payments, and the house goes into foreclosure, which he didn’t even try to stop…he never even opened the court papers…it was a default judgment. I knew nothing about this; he never told me, and since the mortgage was still in his mother’s name, all the paperwork went to the house she had lived in, and I didn’t see it.

So, the house came within 24 hours of being sold at sheriff’s sale. My husband declared emergency bankruptcy. He then dismissed it and went through Loss and mitigation with the mortgage company…BUT…he never took his mother’s name off the mortgage.

Then, he died suddenly last February, just as the original Loss and Mitigation agreement was coming to an end. I called to explain the situation to them, and the company told me to keep making the payments until they told me otherwise.

In May, they put me on the "Obama plan" and told me it would run out in December…BUT…despite the fact that I sent several death certificates in to them, and talked to them, my late mother in law is STILL on the mortgage, and the company still calls and asks to speak to her.

The furnace quit in October, a high pressure pipe burst at the beginning of November, the house needs MANY repairs, since my late husband was a do-it-yourselfer who used duct tape to hold everything together.

Last month, my 3 kids and I couldn’t stand it any longer, since there was no heat, no hot water, (the hot water tank went too), and we had to keep the water shut off until we needed it because the pipe leaked. There was no money for repairs, since my husband left no insurance, no money, and nothing but unpaid debts. So we moved into an apartment.

I can’t sell the house, the area I live in has so many houses for sale it’s not funny. I am not listed as the owner, my husband’s name is still on the property, and I’m not on the mortgage. Can I just turn the property over to the bank, and leave it at that. I don’t want anything more to do with it. I hate it, and I just want to be free of it. Since I don’t own it, or am not on the mortgage, and my husband left no estate worth speaking of, can I hand over the keys and walk away. I live in Ohio.

Technorati Tags: apartment, bankruptcy, burst, death certificates, default judgment, duct tape, Foreclosure, furnace, hot water tank, insurance, mitigation, money, mortgage company, mother in law, original loss, paperwork, pressure pipe, quot, unpaid debts

I have Countrywide for 1st and 2nd mortgages, totaling 0K. I know my home isn’t worth more than 0K for a reasonably quick sale right now. I recently did a loan modification with them on both loans, trying to catch up, but my income dropped further, I’m behind again, and I’ve decided to cut my losses.

I don’t want to file for bankruptcy. I just want to get rid of the home loans and then get caught up on all of my unsecured debts. I’m worried that they’ll auction it off for ~0K and then get a deficiency judgment to make me pay them the difference. What is the likelihood of that happening? Is there something in the loan docs that’ll tell me if this is even an option for them (or perhaps it’s in the AZ law somewhere)?

I make pretty good money (just under K) and they have proof of that from my recent loan modification. Is this going to make them want to or able to get a deficiency judgment against me?

Please list your answer and your source or credentials. Thank you!
Yes, they hold both mortgages.

I appreciate the advice about trying to keep the home, but I’ve weighed all the pros and cons and I’ve decided to cut my losses.

Please answer my question about the judgment if you have any info. Thank you.
razberryicet, thank you so much for that info! that is exactly the help I was looking for.

Technorati Tags: 2nd mortgages, bankruptcy, credentials, deficiency judgment, home loans, judgment against, likelihood, loan docs, Loan Modification, losses, money, proof, pros and cons, unsecured debts

My brother had major medical bills in 2007 and 2008. He got behind on his bills and filed bankruptcy in Oct. 2008. His mortgage was not part of his bankruptcy. For reasons I don’t understand, he stopped paying his mortgage because he "could not afford it". In January he was released from the bankruptcy and he still didn’t pay his mortgage. He got a letter two weeks ago saying his home was in foreclosure. He called the mortgage company and he doesn’t qualify for any of the new government programs because of the bankruptcy. He says because of his health insurance premium (0 a month) and other expenses, he can’t afford to pay his mortgage each month. So, even if I helped him catch up on his payments, he could not make a monthly payment. The mortgage company told him that because of the bankruptcy he is not legally liable for the mortgage anymore but he is responsible for the lien. What does that mean? The mortgage company has set an auction date of April 22nd. But, he thought all this had to go through a court which would give him more time. The mortgage company said they don’t have to notify him of the sale or go to court to establish an Auction date. I don’t even know where to start to help him. Where can he go for help? Thank you!

Technorati Tags: auction, bankruptcy, brother, Foreclosure, government programs, health insurance, insurance, insurance premium, medical bills, mortgage company

My husband lost his job in October and I am a student, so we have no money coming in except for a pittance from unemployment. We had some savings and he cashed in his retirement, but we are almost out of money. We put our condo on the market in December, but so far no takers. My husband has relatives in Las Vegas who have invited us to live with them temporarily, so my husband went after Christmas and began the job-hunt. We are now considering foreclosure and/or bankruptcy, but neither of us know much about either process. Can anyone either explain these processes to me, (in English – not Legalese), or direct me to a website that I can understand? I need to know everything, such as: Do I have to file in California or can we do this in Nevada? Do we contact the lender about foreclosure or is this something they do automatically? (They have been completely unwilling to work with us even though we have never been late on a payment.) Any advice/info would be greatly appreciated.

Technorati Tags: advice info, bankruptcy, christmas, Foreclosure, job, las vegas, money, pittance, relatives, retirement, unemployment

My house has been for sale for 6 months. I am struggling to make payments on everything including 00.00 worth of
debt other than my home loan. I am facing a negative equity situation even if house sells and I don’t know where I’d get the money to bring to closing if need be. My credit is perfect and I am getting married in June. I won’t need the credit so I can live with bad credit for a while if need be as we don’t plan to buy anthing together. Anything we do buy in the future will be in his name.. I do not want the bankruptcy or foreclosure to impact my husband-to-be’s credit I need to take care of this before we get married right?. It’s my problem. Not his.
What is the quickest way to a clean slate? Bankruptcy or Foreclosure? I keep hearing about people who are facing a negative equity situation and have been making timely pmts, but know they won’t be able to pay for the difference when they sell their house for less & they just stop making payments allowing foreclosure.

Technorati Tags: amp, bad credit, bankruptcy, clean slate, Foreclosure, home loan, money, negative equity, pmts

I owe about 25,000 more on house than it’s worth in northern Illinois. The payment is half of my income I have been paying it but cannot keep doing this though. Should I try a deed in lieu of foreclosure, foreclosure, bankruptcy, short sale? Wife is currently on mortgage, how would she be removed from loan? Do I want to let her off of mortgage? Why? What should I do?

Technorati Tags: bankruptcy, deed in lieu, deed in lieu of foreclosure, mortgage, northern illinois

I lost my house to foreclosure in Feb 08. The house sold in May 08. I just got a letter in the mail from a lawyers office trying to collect a debt in the amount of 91K. I am assuming that this is from the foreclosure. I thought that once I lost my house (and I tried to keep it and was even doing a short sale that was approved) that I would only have horrible credit for the next 7 to 10 yrs (which my credit is horrible). I never refinanced my house or took out a line of credit on it. I paid faithfully until I was unable to make the payments. Any suggestions? I have not contacted the lawyers office and wanted to find out if I have any options or is bankruptcy the only way out? I would like to avoid bankruptcy but there is no way I can afford a 91K bill along with what I already have especially being a single parent of two kids.
I owed 407K and it sold for 319K. My mortgage lender is not sueing me it is someone called MTGLQ Investors, L.P.
I guess I only thought they went after people who took out loans on their mortgage.
But my house didn’t sell under a short sale..it sold after it went into foreclosure. I tried a short sale but could never get it sold so eventually it went into a forclosure.

Technorati Tags: bankruptcy, forclosure, Foreclosure, investors, lawyers, letter in the mail, loans, mortgage lender, single parent

My husband died early this year. He had, so he said, and insurance policy for ,000.00. He got papers every year from Prudential which he opened and put away. When he died, however, and I called the company, I found out that he had lied, (not the first time), and the only insurance he left was a 2000.00 policy in his parent’s name, he had let the other policy lapse last year.

The house I am living in now was in foreclosure…my late mother in law bought the house back in 1996 and we paid her rent money every month towards the mortgage payments. After she died, my husband took the advice of a friend of his at work who told him, "You don’t have to make any house payments until the probate is settled", which of course was not true. So my husband, while assuring me he was making the house payments from a checking account he had in his own name was in fact not making them, and lying to me about it. (YES, I KNOW he was an idiot, but it gets worse.)

Without telling me a word about it, he allowed the house to go into foreclosure, it was a default case, and he didn’t even OPEN any of the papers he got from the court. The papers all went down to his late mother’s house, since the loan was in her name, and I didn’t see them, or I would have taken steps to stop it. (He also let her house go into foreclosure and lost it at auction last year. Yes, an idiot.)

The first I heard of it was when he told me that the house was due to be sold at sheriff’s auction. Frantically, I looked on line and he declared emergency bankruptcy with less than 24 hours to go before the sale. He then went through Loss and Mitigation. Right now, they want to refinance the loan but the loan is STILL in my late mother in laws name, even though I have sent them 4 copies of her death certificate, and called them 7 times to explain the situation.

I don’t even WANT this house any more because I can’t stand it, it needs major repairs, and our next door neighbor is crazy and keeps gossiping about us all over town and is showing an unnatural interest in my pretty 19 year old daughter.

We saw a house in town that we love and can get for ,000.00. Unfortunately, I don’t have much money at all, since I had to pay off a few creditors after my husband died unexpectedly in February.

Right now I am not working; I lost my job early in 2008 after the company I worked for went out of business. I have been applying for jobs ever since without success, and believe me I’m not picky. I don’t have a very good credit history right now, since my late husband and mother in law took out credit cards in my name after we moved and the applications came to my mother in laws house (where we had lived) and they filed them out, maxed them out, and never paid on them. (My husband told me at first it was my mother in law who took them out herself, telling me this after she died, then late in January he confessed that he had taken them out with her too, (Believe me when I say if there hadn’t been a death there would have been a divorce)). So I don’t know if that’s why I can’t get a job or if it’s my age. (I’m in my mid 50’s and a lot of companies are hiring younger people now.)

My 22 year old son, who is out of school and working, and my 19 year old daughter who goes to school and works part time live with me, and I get a Social Security check for me and my 12 year old daughter every month. We want this house very badly, I can’t sell mine right now because it needs too many repair jobs, which my husband never did, and I don’t have the money to have them done.

We really want the other house. Is there anyplace we can get a loan in our situation? Anyone who can give me some good advice, (and not smart mouth me about my situation, or my horrid late husband and his equally horrid mother), I would so appreciate it. This house is driving me to despair and I so want to start out in a new place, fresh away from any reminders of my late husband and away from the hideous neighbor. (This reads like a bad movie, I know, but it’s all true.) Thank you!

Technorati Tags: auction, bankruptcy, checking account, death certificate, default case, Foreclosure, insurance, insurance policy, mitigation, money, mortgage payments, mother in law, neighbor, probate, prudential

Im in bankruptcy, but they are foreclosing on my home, what can I do to stop it?

Technorati Tags: bankruptcy