What Happens After Foreclosure?

by on May 3, 2012Jason Van Steenwyk

A foreclosure is generally about as pleasant as a root canal. For both parties. Don’t think your lender wants to foreclose. Lenders almost never want to go through the expense and hassle of going through the entire foreclosure process. But the lender also has a responsibility to its investors to protect their position as best it can, and so foreclosures happen.

what happens after foreclosureSo what’s going to happen once you receive notice of a foreclosure? It varies. Here are the possible outcomes:

1. You pay the mortgage and keep the house.

This is the happiest of all possible outcomes. The lender is satisfied, and you get to keep your home. Once you pay the note, the foreclosure becomes null and void. Occasionally, people can raise enough cash to pay off the note. But in most cases, people pay off the note by refinancing, one way or another.

Hopefully, if you refinance, you will be able to do it via another bank loan or mortgage company loan at a reasonable interest rate. In some cases, people have paid off their notes with personal loans or high-interest credit card debt, by hocking their cars, or any combination of the above.

Be cautious about replacing a mortgage debt you can’t pay with even higher interest debt you can’t pay: You could wind up in bankruptcy, despite your best efforts.

2. You pay the mortgage by selling your house.

If you can’t refinance, and you can’t pay off the loan with other assets, the next best thing may be to sell the house yourself. If you can satisfy the loan with the proceeds from selling the home, all is well. For the moment, anyway. If you don’t buy another house soon, and you actually profited from the transaction, you could be hit with a capital gains tax liability. True, if you lived in the house for three of the previous five years (special rules may apply for active duty military), you get a $250,000 capital gains tax exclusion on the sale of a personal residence. Twice that for married couples.

If it’s an investment property, on the other hand, you’re under the gun, and the clock is ticking.

You have until the moment the lender auctions off the home to sell it yourself. However, if you owe more on the mortgage than the home is worth, you will either need to make up the difference in cash, or get the bank to agree to take a lower amount in a short sale.

3. The bank auctions the home.

Different states have different specific procedures. But generally, whoever made the highest bid and comes up with the cash will get the deed to the property – and all the rights and privileges attaching thereto. You may be able to make a deal with the buyer to stay on as a renter or work out a rent-to-own arrangement.

If you were on the cusp of being able to arrange financing to pay off the loan and just didn’t quite manage it in time, you may even be able to purchase the home from the new owner outright – though the new owner will likely expect a tidy profit for his or her trouble!

Tip: Some states provide for a redemption period. This is a period of time, ranging from a few days to as long as a month, in which you can still get your home back, if you can come up with the necessary cash. Speak with your own foreclosure law attorney to find the applicable laws in your state.

4. The bank takes over the property.

Sometimes a lender will go ahead and take over the property outright, choosing to manage the property itself. This happens if there are no reasonable bidders for the property, or if the lender is confident that they can eventually get a better recovery by biding their time and waiting.

Meanwhile, unless the home was a residential property, or the loan was a non-recourse loan (meaning the loan is secured only by the underlying property itself, and the lender has no right to file suit to recover any unsatisfied balance), the borrower remains on the hook for the difference between the loan balance and the fair market value of the property.

If the lender actually seizes the property, you can eventually expect the sheriff to come and evict you and your belongings and the locks to get changed. In some cases, though, you may be able to stay on as a renter, as described above. (This is one advantage to using a small, locally owned and operated bank as your lender: You can sometimes strike a better deal with a senior loan officer, or even a bank president, with the authority to approve your proposal, than you can with a low-ranking drone in your bank’s foreclosure department.

5. Bankruptcy.

By filing bankruptcy, you can legally bring all foreclosure proceedings to a halt. In some areas, this can take months or years. Meanwhile, you can save as much as you can, and perhaps free up enough cash flow during the process to pay off your mortgage, or at least get current on it. State laws vary a great deal. Chapter 7 bankruptcy – the full discharge of debt – typically requires you to sell off almost everything you have, frequently including your home, as part of the bankruptcy process. Generally, you won’t be able to qualify for Chapter 7 anyway, unless you meet the income requirements for your area. Typically, to stave off bankruptcy, at least temporarily, you will file under Chapter 13.

Bankruptcy doesn’t eliminate a foreclosure all by itself. But it can buy time to help you bring things to a more favorable conclusion for you, or at least give you some breathing space while the long bankruptcy process plays itself out.

The 5 Most Common Complaints of Short Sale and REO Buyers

Can I Throw Away My Foreclosure Paperwork?

It’s going to be awhile before you want to throw that stuff away, tempting though it may be. Especially if you don’t live in a non-recourse state. You can look up your state’s specific laws on the HUD website. If your state allows mortgage lenders to pursue you even after the foreclosure for the unpaid amount on your mortgage, they may get a judgment for the difference – and you could be on the hook, subject to collection actions, for as long as 20 years, depending on the law in your state.

If you filed a bankruptcy, keep your papers around for at least 10 years after a Chapter 7, or seven years after a Chapter 13.

If you had debt forgiven on an investment property, there will be tax consequences to that as well. You’ll get a 1099 for any debt the lender has to write off, which is generally taxable as income to you. Keep your documents for at least six years after you file your taxes for that year.

So Now What?

So let’s say you can already read the tea leaves, and you know you aren’t going to be able to keep your home. It’s time to batten down the hatches, say experts.

First, you will need to solve the immediate problem of finding a new place to live. With a recent foreclosure on your record, many landlords will shy away, or require a higher security deposit from you to compensate them for their risk.

If you’re sending every spare penny into the bank in a hopeless attempt to stave off the inevitable, you may want to rethink that strategy. Keep enough in hand in cash to pay all your move-in costs for the new place.

Tip: Consider the “cash for keys” program. If you have an FHA loan, there are programs available that will give you cash – up to $20,000 in some limited circumstances – to move out and leave the property in good condition. Everyone wins: You have something in “starting-over money,” and the lender gets prompt access to a property they can quickly sell or rent.

Cash & Carry

Once a foreclosure goes on your credit record, it could cause an unpleasant chain reaction. For example, you could see banks close your credit card accounts to new charges, or jack up your rate. Why? Once you have gone through a foreclosure, lenders put you in a different risk category. They see a high correlation between people who go through foreclosure and who default on other debts.

What’s more, that foreclosure is going to hang around on your credit report like a backache: It will take seven years for it to scroll off your credit report, according to the Fair Isaac Corporation, the company behind your credit score. If you declared bankruptcy to delay foreclosure, you could have that bankruptcy on your record for up to 10 years.  However, the good news is that the effects of a foreclosure on your credit score gradually fade with time, and it will gradually get easier for you to get credit, including car loans, credit cards, and even a new mortgage.

Note: Not all foreclosures are equal. You can buy again in a few years if you default because of a layoff. But if you do a “strategic default” and simply walk away from your mortgage, don’t expect anyone to give you a mortgage again with that on your record. At least, not without a substantial down payment of up to 30 percent, according to Jay Brinkman, the chief economist for the Mortgage Bankers Association.

Professional Consequences After Foreclosure or Bankruptcy

If your job requires you to hold a top secret security clearance, get out in front of it. Promptly notify your supervisor of your foreclosure situation. In some cases, bankruptcy and foreclosure can contribute to a decision by federal officials to revoke your clearance – which can jeopardize your career. But being up front about it will look much better to adjudicating officials than trying to conceal your financial issues. There is less stigma to foreclosure and bankruptcy than there used to be, and so foreclosure is less of a factor in security clearance revocations than it was a few years ago. However, it can still be a problem. If your career depends on your security clearance, be very conservative with your finances, and do what you can to avoid foreclosure or bankruptcy in the first place.

{ 114 comments… read them below or add one }

Nora McDonnell February 12, 2015 at 8:45 am

Since 1978 I have owned a house in a suburb of Cleveland, Ohio. At the time, we were an attorney advised my ex and I to put the home in my name alone to protect it somewhat when my husband went into business for himself. In 2004 the home was refinanced by Washington Mutual originating in Florida on the same date we were closing on a 1st mortgage for a home in Daytona Beach. My ex had $70,000 to put down on the Daytona property and they were doing a quit deed (I’m not real estate savvy so I don’t fully understand what that is). In the banks haste, they failed to check the title on MY home BEFORE writing the mortgage;however, they mailed the security document up to Ohio for my ex and I to sign and have notarized. The document was signed and the Office Manager who worked for my husband notarized it. It was then sent back down to Florida and approximately a week later we flew down to Florida to close on both mortgages. When we got there I realized that I was NOT included as a borrower on either note and HAD signed the security document PRIOR to knowing!! When i asked about it all I got was a cold stare from across the desk and an “I don’t know…maybe because you didnt have enough income this year” from my ex. Unfortunately, it had been over 25 yrs since the property deed had gone into my name and both of us had forgotten about it-we thought it was still in both of our names-one reason being that an earlier re-fi included BOTH of our names on the note. Thinking that I trusted my husband and we both were on the title, anyway… I backed off with my questioning at the time of closing.

In October of 2005 my ex was scammed by somebody whom he had hired as an independent contractor and he had no choice but to shut down his business. In November he went down to Daytona Beach “to prepare the house for sale” down there. The only thing is….while there he decided he wanted to ‘become a part of the Florida boom’, obtained his real estate license, and left me holding the bag with his business AND a foreclosure on MY house in Ohio! When I realized the debt owed Washington Mutual was NOT on MY credit report but WAS on HIS I checked the county records and found out why….because I OWNED the property but DID NOT owe the bank!!

After 7-8 yrs of fighting foreclosures, bankruptcy, ‘mediations’, lawyers, and court hearings, and unanswered questions, my home was “sold” at Sheriffs Auction to Fannie Mae for over $164,000….despite the loan balance being $113,000. Having very little money I found the only atty. I could find who was willing to file a motion to reverse the sale. Unfortunately, he did very little, “failed to present evidence”, and I lost. We prepared to Appeal but to continue I needed another Attorney, which I cannot afford. I am extremely angry because the loan assignment was robosigned, the mortgage papers were not signed by ANYONE at Washington Mutual (only my ex’s signature is on them), the date that is shown on the security document that was signed and notorized in Ohio was changed by someone to match the same date as the closing in Florida, etc etc….and the courts and my latest atty. seemed to look the other way (I wrote letters and mailed evidence via certified mail to the court AND my atty. with evidence clearly presented in an attempt for them to understand the complexity of what happened) ….and the evidence was not presented in the courtroom…I still have -0- answers from ANYONE. …..anyway…this atty. said I should have no problem finding an atty to represent me on a gratuity basis; he could not legally do so because he lost my case (we had a contract for him to do so had he won….but he clearly had too many people working for him and he lost track of my case…showed up last minute and unexpectedly at a court hearing AFTER asking to be removed because I was behind in my monthly payments to him w/o evidence ….WHICH I had in my hands and was about to present to the court myself…he asked to be put back on my case, I agreed to it, magistrate allowed it, the only evidence he presented was the robosigning which is no longer allowed as a defense in the state of ohio, and I lost the case to reverse the sale). Im tired, broke, and worn out. I cant afford to hire another attorney who wont fight for me but I KNOW Ive been had and let down at every turn. My rights have been severely violated and Im unable to just quietly allow it to happen. Ive been told the next step is an eviction – I will be told to vacate my house. Im ‘spent’ and will have to leave knowing for the rest of my life the truth and having to accept that there was really no protection for me from the very beginning. Last week my boss’s friend, who is a real estate investor, got on-line to check who’s name the deed is in and it is still in my name. Can they evict me while the house is in MY name and will Fannie Mae become owner since they ‘bought’ it? Sale date was Nov.4, 2014 and we filed a motion to reverse a couple days prior to the sale. When does ownership change in a case like this?

Any info, advice, etc. will be greatly appreciated. Im all ears!
Thank you!


Robert J. February 6, 2015 at 6:44 am

property left to me and my brother left in will, my brother had lawyer draw up mortgage that he was to pay to me in a 15 year mortgage we signed,sealed and agreed, he made about 8 payments and havent heard from him since. he doesnt live there but rents it out, we forclosed on him by scire facias, when the auction process is complete when and how do i get the money owed to me on mortgage note, i was the only lien and no taxes owed


Andy February 5, 2015 at 11:53 pm

I live in maryland and my mortgage lender started the foreclosure process January 6th of this year. It’s been a month and by the end of this month I should have the funds to reinstate the loan. Realistically, how long should it take for them to produce a sale date. And once they have said date, can I still pay the reinstatement $$ to cancel it?


Myra Thompson February 13, 2015 at 12:43 am

If I was you I would get a real estate lawyer who knows the law but the bank should accept the money if you can catch uo


Belle January 29, 2015 at 9:35 pm

I have 3 properties 2 are free & clear the other one is not. I may not have a choice but to let it foreclose. After a foreclosure, can I sale other property/land? How will this affect sales from other properties?


Sean the Mortgage Guy February 4, 2015 at 9:39 pm

The foreclosure will not prevent you from selling other property or land, it would affect your ability to purchase in the future. The other thing is that a lender can hold you responsible for the difference between what the property sells for and what you owe on it. If they know you have other assets that are available they may not “forgive” the balance they may come after you for it.


Margie Tyler January 20, 2015 at 7:04 am

I filed chap. 7 bankruptcy and gave up my rental property. I have tenants in the property. The property is being sold at auction Feb 12, 2015. My tenants are on a lease until April 1st. Do they have to get out on or before the auction date on Feb 12th. This is Florida ( Clay Cty)


Mojo January 18, 2015 at 6:28 am

We are working with morgage company our house is active in forclosure and just recieved from a call that a date has been set for sale in February. Can someone tell me when will they try to evict us. I am working with them to get a home modification but in process can someone tell me do I wait or get a lawyer now before they give me a answer? Help asap


Rob January 26, 2015 at 11:06 am

Im in the same boat… We’re panicking, if you find an answer i would appreciate your feedback.


Myra Thompson February 13, 2015 at 12:48 am

Go too the home loan adminstration write Obama if you are working you should be able too get a loan modifications they should be able too help you


anna January 13, 2015 at 1:11 am

did congress extend the PTFA that expired 12/31/14? (protect tenants foreclosure act)


Coliza January 5, 2015 at 5:47 pm

I have resided in a house since 2008. In 2010,the previous own asked me if I would be able to continue to pay the $450 rent? At that time, I was at the end of unemployment and was not sure, so I didn’t want her to file bankruptcy to keep the home. As of November 2014, a letter was hand delivered stating that any renters had 90 days to vacate. In April of 2014,(time of foreclosure auction) the house was brought by bank at foreclosure auction. I went to Legal Aid for advice and was given a paper to send to the bank and to file in court letting the Bank know that I was living there. I would like to do a rent to own purchase. Do you think this is possible? The last time I paid any rent was back in 2010. I have been paying electric/gas, water/sewage and keeping up property and keeping the house from being vandalized as a lot of properties in my area are. SO, I may be considered a sqatter. Any HELP would be appreciated…


Sean the Mortgage Guy February 4, 2015 at 9:44 pm

You almost definitely would not be able to rent to own as banks are not in the property management business and are not set up to do that. They would rather get the property off their books. Your best bet would be trying to find a private investor who may be able to buy the property at a great price and then rent to own from them.


Maryann Davis January 5, 2015 at 5:44 pm

My mom passed away in March 2014. We are currently trying to work something out with her lender about the back tracked payments owed but they are not wanting to work with me. The house is in the process of foreclosure but has no sale date as of yet. We are not wanting to lose the house because it was the house we all grew up in. I am running out of options and maybe wondering if you had some advise? Could we let it get foreclosed and maybe buy it back?


Sean the Mortgage Guy February 4, 2015 at 9:49 pm

Normally lenders have a clause in the mortgage that says once the mortgagee (your mom) passes away that the loan must be paid off within 6 months or they will take it back whether you are making payments on it or not. You could try to buy it at foreclosure but you would not have a leg up on anyone else who was also buying at the time. Your best bet maybe to try to buy it before it goes to sheriffs sale. Whomever is the executor of the estate should be able to authorize a sale as long as it is enough to cover the amount owed and any and all fees associated with the foreclosure.


Myra Thompson February 13, 2015 at 12:50 am

Write Obama you should be able too get a loan modification


Trisha December 29, 2014 at 4:14 pm

Ok what happens if the bank has forclosed on a house and none buys or has anything to do with it. Then some time after while it is sitting unoccupied and it is light on fire burning half of it down. Who is responable for cleaning it up? Everyone points fingers at each other but who Is illegally responsable? We live in a small unincorporated area that has no means to cleaning it up so it just sits for years


ABC January 23, 2015 at 11:46 am

Go back to school, and focus on English, Spelling, and Writing.


Brooke December 26, 2014 at 11:20 am

….I went through a divorce in 2009. My house was in short sale almost a year after that. There was a home equity credit that couldn’t be forgiven so paid that off and it was part of the settlement in the divorce. Now, after almost 6 years later, i just got served with legal papers. From what I understand, the bank has filed a lawsuit against me & my ex-husband because the property is now being foreclosed! Why is my name being dragged into this?? The house was sold “short sale”. I don’t know where to begin…who to contact?? Please help!!! If anybody here who has some valuable infortmation, it will be greatly appreciated..please share…thanks!!


Sean the Mortgage Guy February 4, 2015 at 9:53 pm

Please clarify your question, so was the house sold? From what you are saying the Home Equity Line was paid off in full or was it supposed to be paid off in full per the divorce decree and it wasn’t?
Your name could be part of this because if the mortgages were under both of your names you are both legally responsible even if the divorce decree states your husband is supposed to pay it off. Is the house being foreclosed on the new owners that bought it at the short sale?


Myra Thompson February 13, 2015 at 12:53 am

Write the president he can help you


kim December 8, 2014 at 12:22 pm

After recent marriage (1yr) found out husband stopped making house payments and now going into forclosure. We didnt have a premarital agreement, my fault, and now I am worried about my personal investments. We currently live in Florida but I own a home in Wa as well as investments, etc. Pls help…


Myra Thompson February 13, 2015 at 12:54 am

Well just write the president


Theresa October 25, 2014 at 7:40 pm

My husband and I filed bankruptcy in 2010, our first missed payment on our home was in April of 2009. It’s almost 6 years since our first missed payment and we continue to receive statements in the mail. When will they foreclose on our home so we can move on. It’s been 6 years this coming April and still nothing has been foreclose. What can we do?


Sean the Mortgage Guy February 4, 2015 at 9:57 pm

So are you making payments or have you literally not made a payment since 2009


Bill October 20, 2014 at 8:49 am

I’m a stay at home dad in VA. I owned a house in Myrtle Beach SC. I still have the house but I haven’t payed on it since Dec. 2008. I have a friend that stays in the house just for upkeep. I found out today that the house has been foreclosed on. What should I expect to happen next?


Christina September 22, 2014 at 7:19 pm

If my house gets auctioned for more then what we oew the bank, who get the extra cash?


dwight December 19, 2014 at 12:52 am

You do.
Shortly (3-5 weeks ) after the auction, you should receive a “notice of surplus funds” letter from the trustee informing you of your rights to claim the surplus funds… and, also the rights of any other lein holders claim to the funds too.
Stay on top of them. In California, the trustee should only hold the funds for a limited time ( a month or two ?) before handing the funds over to the proper court in your area. The funds will be held safely, by the courts until, you and/or, any other parties who had an interest in the property at the time of the sale/auction make your/their claim. (I don’t know this because my experience never reached this stage but, as i understand it, the courts will also keep a small portion for the service).


Lisa Alder September 20, 2014 at 3:24 pm

Online Auction (add said Occupied) but condo was being auctioned. The realtor representing that property said he had to put occupied because a few personal items still remained inside condo. That if we buy it, we would have to evict the persons belongings (tenant or prior owners belongings ? don’t know) Realtor assured us no one was living there and due to that fact & the auction ended the next day, we did not see the inside (He said it did not need much work). So I bid on it & won. When I called him, he then stated because of the law, we could not go inside the condo even after we close on the condo and proceeded to tell me that we had to go through the eviction process before he would turn over the keys….I asked if we could talk to the Attorney handling the property & he got snooty & said ” I will try to get that info” 1. If he is the realtor for that property…he has that info..2. I just wanted to make sure (due to him assuring us no 1 was living there) that we would only have to go through evicting that persons belongings & not the person as well….Help I only have 3 more days to do something or I lose the 2500.00 deposit for the bid….HELP


Missy August 20, 2014 at 11:21 am

I live in Louisiana. My ex husband and I owned a home. He left 10 years ago and have not been able to locate him. I tried to keep up with all the payments and insurance but could not. I gave the home back to the owners I was buying from and moved out about a year ago. They changed the locks and now the house is going to auction because they could not find my ex either. I received the auction papers stating I have to have an appariser at the auction. Does anyone know if I have to hire someone? We gave up access to the house a year ago.


Diana August 7, 2014 at 6:57 pm

I had a home foreclose that ex husband lived in after divorce. he died and the bank foreclosed. I had no intentions of ever living in the home. He was supposed to have it all put in his name. He did not. It foreclosed, and now the bank is still coming after me for the difference. What can I do? Do I have to end up paying it? Or can I just ignore it? What happens if I ignore it?


Scott Roth August 7, 2014 at 1:58 pm

Our condo has been ordered for Foreclosure. We are just waiting on the Sherriff sale now. Do we still have to keep insurance on the property even though we don’t occupy it anymore?


Tondra Briggs July 17, 2014 at 1:39 pm

My home was foreclosed on almost 3 years and resold. How do i find the date that is the foreclosure was finalized. Would it be at the Circuit Court here in Baltimore. Where do I look for it? How does it read on the paperwork? I have a copy but I am not sure what the finalized foreclosure date is. I would like to buy a new home and this is apart of my research. I was told by a Mortgage Consultant that the date that the new owner bought my home is the foreclosure finalization date. I need help with this one. Thank you!


ron July 12, 2014 at 4:16 pm

i live in pa. 10 years ago (may of 2004) i walked away from a house and property it was never sold now the borough wants me to tear the place down do i have to also there has been no taxes paid on it for all this time very upset over this help


LORIE LEMON August 22, 2014 at 10:16 am

I am in the same boat but I live in Atlanta GA what was the outcome please write back


Sandy July 10, 2014 at 5:19 pm

My house is up for foreclosure do to unforeseen circumstances. I need help. I live in CA and just received a notice on my door stating that Fannie Mae has assigned my home to a real estate agent. How do I know if this letter is in fact a legitimate notice? I called the real estate agent office to ask for proof and file date of the deed of trustee. They told me they are contracted with Fannie Mae and the property is only assigned to them to assist me as the home owner with the relocation process and only Fannie Mae has that info. Please help????


Loving Home July 30, 2014 at 12:19 pm

Hello Sandy,
This just happened to us as well. In Las Vegas. The house was foreclosed. First they taped the Fannie Mae letter with blue tape. The real estate agent is offering a get out in so many days for a very small amount of money. The longer we stay the smaller the amount. Does Fannie or the bank now own your house? We went to legal aid so far no help. Because the bank now owns it. Have you found out anything or gotten help? We called Fannie Mae and the real estate agent. They may allow you to rent. We were able too. Good luck Sandy


dwight December 19, 2014 at 1:15 am

do not share any information with the people presenting themselves as the real estate agents contracted by Fannie Mae.
Write a letter to Fannie Mae directly and send it via certified mail. Better yet, require a signature for receipt of delivery of the letter. Ask if they have in fact “assigned” your home to a real estate agent office. If you just can’t wait for the response ( if it were my home I would be impatient as hell for the response), go to the County Recorders Office in your county. Through their database and depending on their public records search criteria, look up the most recent recorded documents ( in my county I would have to type in my name and or business name and also the date or the decade that the file I’m looking for was recorded. Anyone in the office will be happy to help your search if you ask. Assignments must be recorded just as any original deed of trust is, as a grant deed is, the sale of any home is…
Your lender or servicer is also required to send a letter to you at the time of the assignment to inform you of the assignment, (sometimes they don’t but nevermind, make your payments as usual no matter any confusion, courts won’t really care about that detail).
Most importantly, do not share any information. You do not know who these people are. It’d be best not to even speak with them because the sharks out there can get you to share something without you even realizing it. Sometimes, the fact that you even had a communication at all with them is all the evidence they need to follow through with some underhanded trick.
Good luck.


benita July 7, 2014 at 11:14 pm

house was paid for. paid back taxes before the sheriff sale and they allowed me to be on a payment plan for court cost. they did the sheriff sale anyway. is this legal.


Laura Hawkins July 4, 2014 at 4:45 am

Anthony are you just reading to find people to be nasty to. What kind of pond scum are you.


rick June 19, 2014 at 5:42 pm

i live in new jersey. i have a tax lien on my house. now im selling my house and the closing date is august 2014. my lien will be 2 yrs old this month if the tax lien holder forecloses on my property while its under contract will they allow me to sell my house first and pay the lien at closing or do i have to file for bankruptcy?


mike May 25, 2014 at 9:49 pm

I have been buying a manufactured home from my mother in law for about 3 years never missed a payment and she just now informed me its going up for sheriff sale june 4 I just put up a new 30×30 deck and new central air and furnace gutters siding ect I got the royal shaft she moved out we moved in wife 3 kids I went to my bank they said I didn’t have enough credit for loan pay cash for everything never had credit cards car payment ect my neighbor said he give me 5000 for garage and deck huh


Shirley May 13, 2014 at 7:31 pm

My husband and I filed bankruptcy in New Mexico in October 2013 the bankruptcy was granted December 2013. The house we were buying was part of the bankruptcy. We left the house in New Mexico and moved to Florida.The house was left in better condition then it was when we purchased it ( new roof, handicap entrance wider door wheel chair accessible). Bank of America is trying to serve us with foreclosure papers. My bankruptcy lawyer advised us to refuse the foreclosure papers. We just want Bank of America to leave us alone they have the house with our blessings.


anairda May 8, 2014 at 7:56 am

I am at risk of foreclosure. My house is under my name, my husband and my mom. I f my home get’s foreclosed, can the bank try to take my mother’s other home as equity to pay off the remaining balance I may owe?


Leah May 6, 2014 at 9:45 am

I own a house in fl that I bought in 2004. I lost my job and move to wv. The house was benign rented out but is now vacant. I have received foreclosure papers for me and my husband who is not on the mortgage or deed to the house. The house will not sell, I have tried, it is only worth half the price I owe on it. My question is what can they do to my husband who is not even on the papers?


Anthony Jones April 8, 2014 at 1:22 pm

To all these losers commenting here, know that millions in this world do not have a place to sleep. Stop whining about your foreclosure, start over, get a new job and work your way through. Lazy losers have no place in capitalist America.


Christy assenmacher April 26, 2014 at 12:21 pm

My husband just died. I have a severely handicapped son.


Erik White June 1, 2014 at 11:58 am

Anthony Jones, your ignorance is almost comical and sadly enough, society is filled with way to many ignorant and arrogant individuals like yourself.


Jennifer July 21, 2014 at 10:36 am

First of all, I am far from a “loser”…. secondly, you’re a POS for really commenting that. LOL!! I guess you are one of the ones with no place to sleep. . . .

I am letting my house go because I was unaware of the codes and regulations that the city has where I moved to. Therefore, I bought a new home before this one foreclosed. I was served yesterday with the papers. What happens next is all I am concerned about knowing….


margate27 August 8, 2014 at 2:37 pm

Our foreclosed home was sold at auction to a third party bidder. We have to vacate in 30 days. My questions are: Property is still in my name & nothing has been filed yet to switch it over (I checked with Clerk of Court). Can new owner start working on house and/or am I liable for any accidents, etc., if new owner doesn’t take my name off of property. Any help would be greatly appreciated. Thanks:)


dwight December 19, 2014 at 1:22 am

As long as the county still has you on title, as the tax man shows your name still on title, anyone entering you home without your permission would be considered an intruder.
I’d call the cops if someone I didnt’ invite entered my home.
If the cops show up and the idiot is still there, the cops will easily be able to do a quick search and see the name on title.
If you do leave before the title transfer, if there is in fact a title transfer looming, you may be giving up your rights to ever go back in to your home.
Keep your head straight. Is there anything that anyone can say to you to convince you that you can’t come home tomorrow while you are holding current title of your home?..
I hope not.


Pat Stawecki March 31, 2014 at 12:21 pm

I lost my house to foreclosure for back taxes. The house was paid in full. No mortgage on it. The city bought the house from the county. Should I get any monies that the city sells the house for? The amount of back taxes was around $8,000.00. The city has the house listed for $35.000.00. What do I do on my taxes? Can I file a loss? I didn’t receive any paperwork after the foreclosure. I really don’t know what to do. PLEASE HELP. I am really struggling with finances. I don’t have any money to get an attorney and I don’t know if there is anyone I should ask these questions. PLEASE let me know if you know who an help me out. The house is in Roseville, Michigan.

Thank You So Much.


skip May 5, 2014 at 9:25 pm

Hi Pat- Go to legal aid which is free if you are under a certain income level. There are several legal aid services listed for your area on the web. When you call, ask if they are the COUNTY legal aid, because they are the ones that are free. There may be others advertising as legal aid but they are not free. Usually, you are entitled to any excess after a sale, but that may vary according to the county or city involved. They may forget to send it to you, so you may have to apply for it. Call and ask the question. There are different taxes too, there are school, county and city, so find out if you are dealing with just the city or other agencies also.


Michigancheryl July 7, 2014 at 7:01 am

The counties want to work with you to catch up on your taxes. Call and be your own advocate.


Henri Wallace March 26, 2014 at 4:04 pm

I moved out of my home in 2009 because my mortgage went from $1500.00 to $2500.00. In 2011 I filed bankruptcy. I got a letter from the mortgage company saying they foreclosed on the house. Why is my name still on the house? What can I do to get my name removed from the house? Should I just call the mortgage company or is there something else I should do?


mpg274 January 31, 2014 at 7:26 pm

I discharged my mortgage through chapter 7. The house foreclosed and now I’m getting a 1099-A, what does that mean? What do I need to do?


Sug February 10, 2014 at 10:01 am

IRS.gov cancellation of debt search & foreclosure


LORIE LEMON August 22, 2014 at 10:53 am

I am in that same boat my house is abandon, someone took everything out of the house tax not paid up 5,000 I went to court for six mouth saying the house was not ours anymore they said it was my house told me to keep the yard up so all these years I have someone keeping the yard up so filing a chapter 7 would be the best thing to do I know about the 1099-A Abandon but when do I file that.


Grace January 28, 2014 at 12:10 am

My house was foreclosed in 2011 and I just received a letter from the second mortgage asking me to pay them back? I found a tax document that shows 2nd mortgage was canceled by BOA. I sent the copy of the Tax document and now I received an other letter. asking the same debt? Can they come I never signed any document with BOA my original loan was with Countywide.


christi May 6, 2014 at 1:16 am

I hate country wide. My house went from $1,400 to $2,300 just out of the blue and when we called to ask why so much. They pretty much said pay it or get out. They did this to alit of people and all they got was a slap on the wrist and a promise they won’t do it again. Jerks


kathy meyer January 10, 2014 at 8:26 am

my home was foreclosed on in 2011. I found out that FHA has not paid off the lender wells fargo. So the season has not begin as yet. what can i do?


Rae May 8, 2014 at 3:57 pm

What did you find out. The same thing has
Happen to me


Tyler December 19, 2013 at 8:17 pm

I lost my house in 2009, the house has settling issues and has gone through several banks and no one has purchased it, me and my wife are now being evicted by Fannie Mae from a rental where our landlord foreclosed, since my old house has been vacant for 1517 days and we have no where to go, would I be able to move back in my old house and try to negotiate with the bank?


Angela November 18, 2013 at 11:35 pm

To help you out


Emma November 12, 2013 at 3:21 pm

My house was forecloses and it was supposed to to be sold but instead they wrote it off. What does that mean and do I still carry insurance on it and pay the taxes on it.


Nancy November 2, 2013 at 1:18 pm

My house just got auctioned off at the sheriff sale on October 25,2013. The bank bought it back. I live in Dayton,Ohio. I need to know how soon I will get notice from the sheriff as to when I have to leave the property. Will they come to my door and give me notice or will I receive something in the mail? If they come to the door, do I have to be home or will they tape something on your door? How long do you usually have to get out? I just don’t want to come home and find a lock on my door. I have never been in this position before and don’t know any of the procedures and am afraid. Losing my job and not being able to find another one is what put me in this position. Thanks!!


Michigancheryl July 7, 2014 at 7:03 am

you will get notices of foreclosure proceedings. In the meantime, just wait for it. You won’t find a lock on the door just like that!


Martha K. Morelli October 18, 2013 at 5:10 pm

Please I need to know if someone married have a forclosed home and is separated…Can they applied to house opportunities apartment x low income ????

Thanks in Advance


Irene October 15, 2013 at 4:17 pm

I was married for 12 yrs and we split up. He kept the house and i moved out. Finaly after alot of talking we agreed that i should keep the house because of our kids. Before i moved back i went to the bank and asked what the situation was and if there was any missed payments. That was in April 2012. The guy at the bank assured me that everything was fine and payments were up to date. So i decided to move back in the house in august 2012. After a few weeks went by i recieved a letter from the bank that we were 6 months past due in house payments. So i called the bank and i they said i needed to pay the past due amount and i explained that i went to the bank in april and i was reassured that everything was fine. Well the lady from the bank said thats not possible and you need to pay asap. I also asked about refinancing and they told me i dont qualify. I said to her that the bank sent me this letter saying i could qualify for refinancing. She said no it should of been there. And before that i explained how i had talked to other people from the same bank willing to help me and she said i have no other options but to pay 10,000. In order for me to get my house back. Well i lost my house but is there anything i can do still? Now nobody wants to rent to me and im in a small apartment with my brother and my kids.


Max Bernie August 2, 2014 at 8:09 pm

Contact NACA. And get an attorney? Please call HUD counselor too. Time is of the essence. God bless you


mary October 12, 2013 at 12:44 pm

I had claimed bankruptcy in June of 2012, and my home was forclosed on in June of 2013. A realtor purchased the home in foreclosure auction and has someone else on the foreclosure deed, butI still reside in the home( in massachusetts). Do I have any right to the home sinceI still reside here? The person on the foreclosure deed is now trying to evict me and my family…does he have that right ..or is the lender supposed to evict?
The bankruptcy was a Chapter 7


melissa September 24, 2013 at 6:03 pm

my house burned down to ground 100 percent, now we had insurance on it and was in preforecloseure now they sold our land and everything on it without notice,,,,,


Jermaine Johnson September 12, 2013 at 12:14 am

My mom paid off her house after her 32 yrs of living there but then she gets a letter from USDA Rural Housing saying that she owes an interest of $8,000 and that she have 90 days to pay it or her house will go into foreclosure. So can they actually do that because they say that she cannot make any monthly payments at all????? Need to know what we can do for her to keep her house.


Michigancheryl July 7, 2014 at 7:05 am

Try to work things out. Call them. Don’t ignore these letters….


Hopeless September 4, 2013 at 3:28 pm

Please Read!
My mother passed away at the end of April. Her boyfriend is not listed on the mortgage and is not paying the mortgage currently. He will not let me in the house to retrieve any items. A foreclosure notice was just sent and I cannot pay for that place, my own place and take on all the cost of being an executor of estate. Her estate is insolvent anyway. Looks like I’m loosing all of my childhood pics and things like her graduation gown and all of our Christmas decorations. So far everything I try I just end up getting incorrect information and I have tried calling several legal aid numbers but no one has contacted me back yet. What can I do? I am a college student with a 2yr old daughter. I cant believe that due to my economic status I will never get to see the pictures I grew up with. I am an only child from a single mother so she was my entire past.


Deborah September 9, 2013 at 11:14 am

So sorry to hear of the recent loss of your mother. I am currently researching similar issues for my step-daughter, also a college student, who lost her mother on Friday. I hope that someone with more experience responds to you but, in the meantime, I will give you a bit of feedback based on what I’ve already learned.

It seems that your mother died without a will or intestate. Despite the fact that her estate is insolvent, because she owned a home, it will have to be probated and it’s true that this is often a complex, time-consuming process. I wanted to make sure that you know that you can refuse to act as executor if it’s too burdensome for you to take this on. If you do decide not to do it, however, it is possible that the court would appoint the boyfriend to serve in that capacity. Here’s a link to an article about this: http://www.nolo.com/legal-encyclopedia/if-there-s-no-will-who-s-the-executor.html.

Also, every state has statutes that define the rules governing inheritance when someone dies intestate. Unless your mother’s relationship with her boyfriend would qualify as a common law marriage, which most states do not recognize, your right to inherit everything in the house that is/was not jointly owned by the two of them is absolute. Please look at your state’s intestacy laws: inheritance is for family members (as one would expect). If you happen to live in a state that does recognize common law marriage, however, your mother’s boyfriend would, very likely. have inheritance rights. You can determine what rights those are by reviewing, once again, your state’s statutes related to intestate succession.

With regard to the conflict with your mother’s boyfriend and the fact that he won’t let you retrieve any personal effects of your own and your mother’s that hold such meaning for you, I do have one suggestion. There is a conflict resolution method call Non-Violent Communication whose practitioners are really good a bringing people together to resolve problems such as this. Sometimes they offer their services on a pro bono basis or are willing to accept whatever an individual is able to offer as payment. You might want to see if there is an NVC facilitator anywhere in your area who would be willing to help you make peace with the boyfriend. The url for their website is cnvc.org.

If all else fails with regard to getting those personal items out of your mother’s house, I hope you will continue to seek legal counsel. I would hate to see you lose those memories.

All the best with this…hope things work out well for you.


Corey November 18, 2013 at 1:54 am

Please Read!
My mother passed away at the end of April. Her boyfriend is not listed on the mortgage and is not paying the mortgage currently.

That is going to look a little funny to a judge–especially if he is preventing you access to a house he has no legal ownership of, nor pays the mortgage of, when you are a child of the decedant. If he has no bills for the property in his name either, it even looks more suspicious, like he is a trespasser. And if he removes items from the house, as a trespasser, that just doesn’t look good, now does it? I know, if I were a judge reviewing the case, I’d be wondering what the hell he is doing there having no bills in his name, having no equitable claim to the property, and taking it upon himself to potentially remove items that are not his from the house. That sounds suspiciously like a well organized robbery to me or a squatter free loading at the expense of a family in morning.

He will not let me in
the house to retrieve any items.

You may be able to get a court order to allow you to head over to the property with the Sheriff and remove what is your’s. Contact the Sheriff’s office in your area and let them know about the situation and how you are the child of the decedant and how this guy has no legal claim to the ownership of the property and how he is preventing you access to the property to retrieve personal items that belong to you. While there, I would also take pictures of the items in the house that you know belong to your mother, in case they come up missing from the premises. Remember, the estate is in probate, so pictures of things coming up missing that retain a high dollar resale value are an added cloud of suspicion that can be raised in a situation like this before a judge.

A foreclosure notice was just sent and I cannot pay for that place,

Sometimes you can get a court to halt the foreclosure process. I would imagine a probate issue where the children of the decedant are being restricted access to a property by a person who has no real claim to the legal ownership of the property is a decent reason to grant such a halting motion. I would consult with a real estate attorney over that one who has some experience working probate cases to get their thoughts on the matter. Consultations are usually free, so there is really nothing to lose to simply inquire.

my own place and take on all the cost of being an
executor of estate. Her estate is insolvent anyway. Looks like I’m loosing all of my childhood pics and things like her graduation gown and all of our
Christmas decorations. So far everything I try I just end up getting incorrect information and I have tried calling several legal aid numbers but no one
has contacted me back yet.

I would look into what you have to do to get a court order to grant you the assistance of the Sherriff to accompany you to the property and help grant you legal access to retrieve your things. It will likely help matters if you bring proof to the court that you are the child of the decedant, any other documentation that shows you have at some point resided at the house (a key, old mail, old identification etc.), and be certain to make a list of the things that you believe belong to you before you petition the court–especially if your mother was keeping sensative documentation like your birth certificate or other legal papers etc… Because a well defined list of items makes things look more legitimate, as opposed to just asking to walk into the house to remove whatever you want.

If all that fails, you can always wait to see who the executor of the estate happens to be and try to contact them to work out an agreement to get items you want or need to retrieve from the house before the liquidation process, such as old pictures, etc.. If the executor moves to push the items and/or property of the estate through auction, show up with some friends and have them help you to bid on the items you want to retain. It’s likely that most people showing up to an auction don’t want your family pictures, but typically are there to acquire more valuable items instead. I am sorry to hear that your childhood memories are being kept from you and wish you all the best in getting back what is rightfully your’s.


Melissa Cantu August 21, 2013 at 5:49 pm

I left my ex husband and the house was under both of ours names. I was with rhs-usda program. House got foreclosed this February. My ex kept it from me. When I wanted to try to save it , the balance was to much. Now someone had bought it and it’s up for sale. Do I owe what balance left orddoes it stay on my credit. What happens now?


sandra senior August 12, 2013 at 5:53 am

i was still on mortgage of a home my exhusband was suppose to change. he passed before hand. I do not work, am remarried. whats the worst that will happen to me in the foreclosurer. they said they could go after his children and there spouses for payment too. live in new jersey.


Darnell August 9, 2013 at 5:11 pm

I had a house that recently went into foreclosure. The house was auctioned and did not sell, and I am being told that the house is now an REO. I received a letter stating that all escrow and taxes balances are not final. I was told by the lender that they sold the mortgage. What does this mean for me? Does this mean that even if the house is sold, that I owe the full balance on the loan regardless? Please help me understand.


Corey November 17, 2013 at 11:52 pm

I had a house that recently went into foreclosure. The house was auctioned and did not sell,

So, basically, if the house had mortgages, judgments, or liens filed against it, none of these debts were satisfied by the foreclosure process, since no one bid on the property. So, since the lender could not recoop their losses through the foreclosure process, they chose to try to sell the home through normal channels. It might help to go down to the courthouse and speak with someone in the Clerk’s office who can direct you to the physical foreclosure file and explain to you what debt instruments have been filed against the property. Even if the property is free and clear of these debt instruments, that does not necessarily ensure that you have been cleared of the debt implied by said instruments.

and I am being told that the house is now an REO. I received
a letter stating that all escrow and taxes balances are not final. I was told by the lender that they sold the mortgage.

So, what it sounds like occured here was that the Lender, upon realizing that they could not recoop their losses through the foreclosure process since no one bid on the property, they took the property over to sell it through normal channels instead. Apparently, selling the property did not generate enough capital to pay off all the remaining debt, so the amount left to be paid off above and beyond what they recooped from the REO sale is likely your responsibility still. But, I don’t think they can just demand this from you outright. I believe they must still petition the court for a deficiency judgement against you the property owner to be able to collect funds on the unpaid debt. So, you may want to speak with a Real Estate attorney about this to make certain, because every state has funky differences as to what lenders and home owners can do after a foreclosure takes place. And most attorneys are happy to give you a free consultation to discuss your case, so call more than one if necessary to get a couple of different viewpoints on the situation. Also, how your particular state imposes any property redemption laws may be another factor you might want to inquire about.

What does this mean for me? Does
this mean that even if the house is sold, that I owe the full balance on the loan regardless? Please help me understand.

Not likely! It likely means that if the house was sold in REO that what you are left owing is the difference between the debt you initially owed to the lender minus the amount they were able to recoop through the sale of the property. If they got paid a substantial amount and you only owe a little bit, and they try to charge you more than what remains after the sale of the property, you might want to ask a real estate attorney if this lender has engaged in real estate fraud and what is in your best interest to do to remedy the situation. Note that lenders can engage in all sorts of fraudulent activity. So, it never hurts to ask an attorney for advice, if you are not certain what is going on.


sherry July 24, 2013 at 7:23 am

hi me and my husband was buying a home from wells fargo. we lived there for about a year and the foundation completely fell apart to the point where there were electrical problems. so we had to find a place to rent so we could get this fixed we missed 2 payments in the process, but we found a place to lived till we could fix it. in the process of moving out someone changed the locks on our doors and kept our stuff before we went into default. the house is now being forclosed. was this legal


Max June 30, 2013 at 10:05 am

My friend in NJ just got a foreclosure notice, but the house is worth more than is owed. If he owes $80K but the house is auctioned for, say, $150K, does my friend get the difference (after paying the foreclosure costs) or does the bank keep it? Thanks for any advice – I tried to research this issue but I couldn’t find any info. He would like to put it on the market and sell for himself, but his ex-girlfriend (and co-owner) won’t sign the listing agreement (stupid, I know!).


larry Ingwell October 4, 2013 at 2:06 pm

Max, there are a few items to check on for you…and to know.. NJ is a Judicial State, the mortgage company can not just waltz in and take the home.
2. find out if the lender securitized the note.. (check the mortgage note for a MIN number, or any reference to MERS. Both tell you the note was sold and once that is done, the lender has no legal standing on your mortgage You can prove that and put a stop to the foreclosure…


Michigancheryl July 7, 2014 at 7:07 am

If he has a redemption period he should sell the house, pay off the bank and then he can keep the proceeds.


Christina M June 29, 2013 at 3:45 am

My moms house is being foreclosed on. She passed away in 2009 & my sister has been living in the house. I assumed the mortgage was being paid. I am the executor of her estate. But the transfer of her name on the deed to mine never happened. The mortgage is in her name only. Will this affect my credit? Can I purchase the house if auctioned?


Terrie Tesack June 27, 2013 at 12:24 pm

My home sold at sheriff sale to the bank. I have been off work due to medical reasons. I really want to stay in my home how can I do that. I live in Ohio


May Hall June 10, 2013 at 8:48 pm

Obviously, there’s a lot of work to do in foreclosure and aside of that very costly too because of several paper works and filing you need to provide. Hope that there might easier way on this.


Diana June 1, 2013 at 7:28 pm

We filed chapter 7 and included our house and 2nd mortgage also in 2011. We have stayed current on the first but paid nothing on the second. I just found out that the second is going up at auction on 6-11-13. Does anyone know if someone buys the loan at the trustee sale , can they evict us? The house is underwater by about $85,000 . Why would anyone buy the second at the auction? How would they benefit?


Kevin Mcghee June 20, 2013 at 11:52 am

The last time that I checked on that it was said that you can be foreclosed on either loan even if you are current on one them. I hope that it has changed in your favor the best thing to is stay current on both this is one way that they can also get you.


April May 11, 2013 at 6:19 pm

I learned on my own that our house was foreclosed on (the original date was postponed and I have not despite repeated attempts spoken to servicer since November—and I mean repeated attempts and requests for reinstatement, etc. The property is now listed as an REO property, is it possible to still try and cure the mortgage. Again, we have not been notified of the sale, the transfer, anything. I found this all on my own because of a comment a co-worker made to me about a transfer notice in the newspaper.


Kevin Mcghee June 20, 2013 at 11:55 am

That’s the thing with these companies they don’t call you for that you have to call them.


Gwendolyn May 1, 2013 at 12:43 pm

My husband died over 2 months ago of sudden death all his benefits stops with a $1800.00 dollar mortgage payment a month and I am not working. The survivor benefit that I am suppose to be getting from the Va will take up to 4 to 6 months and his penision is not enough to pay anything cause it is only $358. I am in the process on being in foreclosure on May 25th and I can not do anything because I have no determining factor to my income amount. I have never been this far and this is real bad to me because I want to stay in my home. The bank sent me papers but I was told they could not do anything unless I knew my income status.


Kevin Mcghee June 20, 2013 at 11:59 am

Rent your house out even if you have to live in your basement don’t wait until the last minute depending on where you live maybe we could help each other. I have a situation of my own.


Linda April 23, 2013 at 2:06 pm

We bought a condo in Myrtle Beach in 2002 and kept this as a rental for many years. In 2009 I lost my job and we were unable to keep up the pymts on the condo. We got behind on everything and eventually filed bankruptcy in 2011. Our condo in Myrtle Beach is just now in the foreclosure process. We had been working on a deed in lieu, but the foreclosure date was set and the deed in lieu company stopped the process. Is there anything I can do to get the process going again. If it does go to a foreclosure, what can I expect to happen. I wish we had never bought the property! What a financial mess.


Kevin Mcghee June 20, 2013 at 12:02 pm

Once it is foreclosed on its a matter of them just coming to evict you out of your home almost right away they will leave a notice on your door. the same day of what time they will be coming.


Rosie April 22, 2013 at 9:04 am

How does PMI (Personal Mortgage Insurance) play into a foreclosure? I am not at foreclosure point yet but can foresee this could happen to me. Does the PMI factor in some way? My understanding is it pays the mortgage co. for the outstanding balance if I can’t for some reason. I can see how a foreclosure might still occur…I am asking because I’d like to know if I had non-liquid assets and I am foreclosed on, I need to know if the mortgage holder would be able to seize those non-liquid assets after a foreclosure since the mortgage is insured? Seems they would not be able to do this but no amount of reading of MA laws gives me any answers. Please help!


Frank April 1, 2013 at 6:41 am

I was discharged of chapter 7 on Sept. 13, 2010, as the business I was working went under also. My question is I want to get a VA loan for a home, however the bank did not foreclose on my home until Nov. 2012, The bank mortgage was included in the chapter 7 as well. We vacated the home the same day as our discharge date on bankruptcy. I knoe there is a 2 year waiting period from date of chapter 7, however, why am I penalized because the bank drug their feet to foreclose over two years later. I had excellent credit my whole life until the job I had was gone. Please help!


betsy yingling March 30, 2013 at 7:44 am

My husband and I are getting divorced and while I would like to keep the house I am unable to get a mortgage in my name only. We owe about 10,000 more than the house is currently worth. My husband wants to let it go into foreclosure instead of trying to sell it. Any advice?


Kevin Mcghee June 20, 2013 at 12:07 pm

Try to tell him its better to sell it or rent it out to good renters until things get better you both still need to work together even if you don’t stay together.


Sheila March 13, 2013 at 8:30 pm

My credit could not get any worse at this point, so I am no longer concerned about my credit report. My home is located in Tennessee and I no longer live there. I really see no point in keeping it. The only concern would be having to be stuck with a residual amount owed and my wages being garnished, etc. What do you advise? Should I keep paying my mortgage in one staye and rent in a different state?


Kevin Mcghee June 20, 2013 at 12:09 pm

If its not in foreclosure stay and work on fixing your credit as long as you can so that when you leave there can be a fresh start.


thomas dowell March 8, 2013 at 3:43 pm

I had a house go into forclosure, I owed $45,000 on it. It sold for $50,500. With a difference of $5,500. My question is am I suppose to recieve the difference? If it was sold for less than what was owed on it, I would owe the difference, shouldn’t by that reasoning make me entitled to the difference of the loan and sale price.


J June 4, 2013 at 8:06 am

Plse let me know, I had the same question


Sabine June 7, 2013 at 1:36 pm

yes, you are entitled to that difference but you must demand it, they won’t come to pay you. go to where the house was auctioned off and have the sheriff advise you of the procedure to follow where you live. you may need to deal with the bank directly if no auction was involved. worst case you need an attorney, but that money is due to you.


brad February 12, 2013 at 11:32 am

I filed and completed a chapter 7 two years ago and now I was sent a 2012 1099-A Acquisition or abandonment of secure property (Copy B). Do I need to enclude this paperwork when filing 2011 taxes and what happens if I dont?


Dawn February 8, 2013 at 8:58 pm

I have a question my sister and her husbands house is being foreclosed on and is scheduled for sheriff sale in the state of Pennsylvania next week, now the problem is we now have custody of there children due to some other circumstances and would like to enter the house to retrieve the childrens items such as clothing, baby books, pictures birth certificates etc, and my brother in law will not give us permission to enter, how can we go about getting there items in a legal way. My sister can not help because she is in jail at this time. After the house goes to sheriff sale is there some way we can contact the new owner and have them let us in to get the itmes or no?


Jason Van Steenwyk February 11, 2013 at 12:01 pm

Ouch… that’s a tough nut to crack, and it’s beyond any expertise I have, because there are some family law dynamics worked in. It’s not just a matter of an owners’ access to a home, nor even access to reclaim property, because I don’t know whether the law would consider this stuff the child’s rightful property or if it’s the property of the parent who bought it.

I don’t imagine that your brother in law has any legal obligation to let you guys in, because when you gain custody of a child, you don’t necessarily get all the belongings as well.

Now, in some jurisdictions, the old owner has a certain number of days to get their belongings out of the home, even after a foreclosure sale. So if the childrens’ mother gets out of jail, she might be able to get in the home – I’m assuming she was on the title.

If there is a foreclosure sale, the new owner will be a matter of public record, and you may be able to contact whoever that is. I have a feeling a new owner will be easier to deal with than your brother in law, though the risk is that your brother in law will get rid of all the childrens’ belongings out of spite… the same way some people vandalize their homes on the way out after foreclosure.

Does your sister have an attorney? Maybe she can file bankruptcy, if that card hasn’t been played yet. If she is eligible for a Ch. 13, that would normally bring foreclosure proceedings to a halt, and you can play for time until she can get out of jail. Might be a plus for the brother-in-law, too… enough to get even a hardened heart to play ball.

Email us and let us know how that goes! Best of luck.



Missy February 8, 2013 at 9:23 am

Our house went into foreclosure last year because we were behind 4 months. We settled with the bank and paid the four months and got to keep our home. Now, we are three months behind again and were to pay two months by the end of January and the. We had set up to pay January and February by the end of February. Our situation. Is that we can’t afford to pay these by the time the bank wants them. We can only pay no embers by the end of this month and try to pay what we can by the end of February for the remaining months. Will our house go into foreclosure again?Since our house was already in foreclosure once before and if it goes into foreclosure again will the bank work with us or will we lose our home for good since this will be the second time?


Justin Ruble February 14, 2013 at 9:10 am

Hey Missy – was your house in actual foreclosure or pre-foreclosure? I’m just curious because my first mortgage just went into foreclosure yesterday and I have notified the mortgage company that I can pay the full amount past due if they will take it back out of foreclosure. Is that what happened to you?


friend January 23, 2013 at 4:54 pm

My house went into foreclosure. It was bought by the bank then bought again by Fanniemae. I called and asked if there was anyway I could keep my house and I was advise that I would have to pay $1900.00 a month. Now I purchased the house for $230,000 / house is now only worth $150,000. Can you advise another option how to proceed to saving the house??


Jason Van Steenwyk January 23, 2013 at 7:22 pm

Hello, and thanks for writing!

Depends. Now, I take it from your comment that Fannie Mae now owns the house and will shortly try to auction it off. I also assume that you can’t swing $1,900 per month.

Are you upside down? Are you in a non-recourse state?

I’m not a fan of strategic default. But if you did your best, and made a good faith effort and the bank said no to restructuring/modification along the way, then you do what you can do.

Maybe it’s better to let the lender write off your balance (not taxable, as long as it’s your principal residence), and try to buy the house back at $150,000, or a slight premium to make sure you get the deal, rather than try to finish buying at $230,000? What does the math tell you?



Jana Sabatula November 16, 2012 at 2:46 pm

The bank took our house because it went up for sheriff’s sale. We do not own anything and had to move for work. What is going to happen now. Is there a time limit that it will be written off?


Anthony Falvo November 7, 2012 at 1:48 pm

…my wife and I purchased a “one week every other year” timeshare in 2008 with Marriott Vacation Properties in Florida. This was our second purchase – we have another week that is paid in full. In 2010, I was laid off for a short time, and we desided we could not maintain the payments on our 2008 purchase. We asked Marriott if we could give it back. They said yes as long as we paid our back payments, fees and taxes. We did this in September, 2010.
Recently, I looked into refinancing the mortgage on our house, and was told we could not get a loan due to the foreclosure on the timeshare. Is this correct? My wife and I both have credit scores in the 700s’ and I have obtained auto loans without issues. If this is in fact correct, do I have any options to refinance the loan on my house? Thanks


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