I Want To Save My House!
I'm not sure how this all works, but my house is scheduled for sherrif's sale soon. I haven't made a payment in over 2 years, and I'm pretty far behind. My lender wouldn't negotiate within reason. I definately want to keep my house, I just need a chance, but don't know where to get the money from. Also, if they sell my house, will I be responsible for the deficit, and for how long? How will they get their money, I'm self-employed.
Give it up and sell your house. You are not going to save your house being 2 years behind, nore will it be easy for you to keep it in the future even if you do save it. Im sure there is an investor in your area that is more then willing to help you save your credit and take your house off your hands.
This is the problem with most people in foreclosure, they are in denial and want to save their house, but the realization is that the only way to save yourself is to get rid of your house and the debt that it has got you into.
Sorry if I sound negitive, but I am only trying to help you from loosing a lot more then your house.
Hope every thing works ouyt for you,
James
Oh boy,
Doesn't look good.
From the little info you posted I get the impression that you passed the point of no return.
I think you should definitely start making serious plans to sell your house ASAP before the auction, if you want to save what's left of your credit. Talk to some Realtors, and start calling the I BUY HOUSES ads to give you an indication of your bottom line.
While doing that I suggest you also contact one or more Mortgage Brokers. You know, the ones that advertise "Bad Credit Welcome", and see if they can put something together in the time you have left. But don't bet on it though.
What I'm trying to say is: Manage The Problem!
You still have some time left. Sometimes bad things happen in our lives, but you've got to deal with them, and move on.
I hope everything works out, and good luck.
[addsig]
Post your property using the link below for an investor to help you ASAP. There is no time to lose.
https://www.webbgroup.net/~sellanyhousequick/listing.php
It is obvious that any bank that lets a buyer miss 2 years of payments doesn't want this home back. If they are finally foreclosing, it's because they are forced to. I bet they are ripe for some investor to purchase the note or would be very open to a short sale. Of course if they don't want the home back, makes you wonder who does? I agree with you guys. She has had 2 years. If thats not a chance to get back on your feet, what is?
Greetings Lisita,
I hate to be the one to say this, but it doesn’t sound too promising.
You say you "just need a chance" -- yet you haven’t paid in over two years. It seems as though your lender has given you many chances. Most would have foreclosed in a matter of a few months. The fact that they’re willing to negotiate at all shows they’re still trying to give you another chance.
And my understanding is that "yes" you can be held liable for any deficiency. I’ve also heard you can be liable for income tax on that amount as well.
The only possibility I can see is maybe try to sell as fast as you can and save yourself from a foreclosure.
But your last statement seems to be the most telling. Especially when trying to find a lender to bail you out.
I’m sure this isn’t what you wanted to hear, but I noticed no one else has responded yet. And who knows? Maybe someone out there has some other ideas.
I am a mortgage broker and being 2 years behind I could not help you. After late payments, Late Fee's, Interest, and attorney fees. It would cost you probably around $40K.
Sell you home. Sell It fast this may allow you to to keep a foreclosure of your credit.
Carl
You may not have time to keep your property. If you live in the Los Angeles area give me a call at 626/487-2925.
Maybe I can assist you.
Quote:
On 2004-02-03 12:45, Lisita wrote:
I'm not sure how this all works, but my house is scheduled for sherrif's sale soon. I haven't made a payment in over 2 years, and I'm pretty far behind. My lender wouldn't negotiate within reason. I definately want to keep my house, I just need a chance, but don't know where to get the money from. Also, if they sell my house, will I be responsible for the deficit, and for how long? How will they get their money, I'm self-employed.
I have always wanted to know what people who haven't made a house payment in 2 years do with all that extra money they have each month?
Lisita, by now you probably know that you need to sell your house quickly. And hopefully you have equity in the home so maybe you'll have room to be flexible. I wouldn't be greedy, just get it sold. You don't want the forclosure on your credit. And also provide more info on the property, location, fairmarket value, how much is owed, how much is needed to catch up the payments Etc.. But definately location, you might be talking to someone right now who can help, you never know. Good Luck
The-Rehabinator, comments like that are some of the reasons that investors have a bad name. If you can't help with the situation why even post. Seems arrogance would be my answer, I doubt they posted so someone from Denver could stand on a soapbox and think their funny
There are a number of people telling you to get the sale done in order to salvage the rest of your credit. My understanding is that once the Notice of Sale is filed, your credit is history.
Nonetheless, if you have any equity left at all, get it sold and move on. If you owe more than the house is worth, you might want to wait it out until close to the sale and take advantage of rent-free living.
At this point with this information we all do not really know how to advise.
List your address complete.and tele
List how you hold title
List the amount now due on mortgage
List the Lender and address and tele
List what you think the house is worth
List what you do as a self employed pers
With this information the posters at TCI can probably get the closest person to you to call you and sit down with you and review your options.
Do this at once as time is passing.
We await your information.
Lucius
Thank you all for such quick responses! Here is a little more background. I purchased the home in July 2000. My credit was truly perfect. I qualified for a "Fast & Easy" loan with only 10% down and my good credit. I took a 15-year mortgage at 8 1/2% making a $1300 payment. Then, I got stupid, quit my great job, trusted and married an alcoholic. Had a skiing accident and subsequent surgery. Kicked the drunk out, started my business, an international franchise publication called Coffee News. Left with surmounting bills including my mortgage, car pmts, etc, I filed chapter 7 in July 2001, reaffirmed on the house. November 2001 borrowed $7,000 from a friend to catch up on the mortgage. At the same time, managed my divorce and then a wicked restraining order against the ex. In 2002 I tried to shift focus to my business, continuing to pay business expenses, and all other personal expenses. Unfortunately, I still emotionally held onto my hardships. Then, on Christmas Eve 2002, I was rushed into emergency surgery for something more serious than a simple knee injury. Now, trying to recover from that situation and the financial obligation... and continue to keep it all going... yeah, yeah, yeah, where did ALL my money go... what money? A $1300 mortgage payment is pretty high. Now, I have been "repairing" my credit, which, until this, has been surprisingly good. The "negotiation" was $8500 down, with a $1400 payment for the new 15-year term. They wont convert to a 30-year to relieve some of the burden. There is no equity. No matter what I do... sell the house... I can only assume that I will be held liable for the deficiency, which will probably be at least $30,000. I live in Indiana. I don't remember all the questions requested by the last poster, but I will check it out and repost. Yes, I want a chance. I don't want to move. And if I do, then what? How long will there be a $30,000 monkey on my back, and will another chapter 7 remedy that when it's an available option again? Can I find an investor to purchase the house at auction, so that I may rent to buy from them for the duration of the "lein" from the mortgage company, then obtain a new mortgage?
Where are you at? Need to know this before we can help.
I live in Elkhart, Indiana
An investor could help you determine if any equity might be lurking; it's possible your house has appreciated a lot. Many states have redemption periods following foreclosure; maybe there's a lawyer or some county officer you could ask. But before you deed it over to an investor for little or no gain--if one would want it, which isn't certain--find out, as that would increase your options. Good luck!
If you're facing judicial foreclosure and want to delay it, you can buy an extra month by simply filing an "answer" to the foreclosure complaint, and if there are any improprieties in the actual complaint (misspellings, wrong numbers, typos, etc.) you might be able to make them have to file it again, which sends it back to square one.
An investor might be able to help you avoid foreclosure and ruined credit, but only you can judge if avoiding 7 years of bad credit is a worthwhile trade-off if it means you're back on the street w/o a place to live compared to, possibly, a free place to live for 6 months if you let the foreclosure continue. Plus you might be able to sell off appliances, etc. in preparation for your eviction. I'm sorry you don't have better options.
YOU ARE NOT GOING TO KEEP YOUR HOUSE UNLESS A RICH RELATIVE DIES AND LEAVES YOU WITH A BUNCH OF MONEY!!!
YOU WILL LOOSE YOUR HOUSE!
You say you need a chance AND you say you need money. Bad combo. Your chance is gone, my friend. I'm not trying to be harsh, only letting you know where the bear craps in the woods, so to speak.
Here's what I would do.
Call the bank and find out how much they will accept for payment in full.
List your house with a Realtor (on a NON-EXCLUSIVE agreement).
List it in the paper, and give a great deal. List it on FSBO, etc.
Call the "I buy houses" signs. Screen them. Find out how many shorts they've done in the past 36 months. Find someone with experience. Talk to them about your options so that 1) you don't end up oweing the difference to the bank and 2) so that you don't have to pay the IRS on your "gain" when the mortgage company writes off their loss.
With good help, and some luck you MAY be able to walk away from the house, owing nothing, and NOT have a foreclosure on your record. Maybe even get $2000 to move. That is the BEST case scenario....
The worst is that you loose the house, have a foreclosure on your record, owe the bank tens of thousands of dollars, and the IRS several thousand as well. THAT is what will happen if you don't take action and do so quickly.
Sorry to be the bearer of bad news, but that's where you're at.
Start trying to sell your house immediatly!
Indiana is calling and that is where she said she lived at. I dont know...two years is alot of time to figure out you either are or arent going to make it, There are soo many would have I would have done ( taken in a boarder or two to catch up) Selling & downsizing, NOT filing for bankruptcy (loaners wont touch you then, most wont) ...anywho I would have LONG ago sold, cut my loss, and rented cheaply to get business of the ground. Tell us, how is your business doing now, Do you have any capital in that? TRY to sell, and start over, dont become so envolved with the four walls...Blessings to you, Dee
I'm sorry to hear of your unfortunate circumstances. My best advice is adhere to what the people here say. You are talking with good honest people (for the most part) who have alot of knowledge on these sort of things. I wish you the best of luck and keep your head up. Things will get better.
Ryan J.l Schnabel
I have to agree. You have lost your house, you are just not out of it yet. There is NO way anyone is going to be able to help you save it.
Take Hibbys advice and follow it to the letter, this is your only chance of having any good come out of this terrible situation.
I have to ask, how could you go for two years, not make a payment, and then think you have any chance of saving youself?
Face the facts, you made poor decisions in the past but you don't have to CONTINUE to make poor decisions. Make a decision to try to save whatever is left of your credit. Take control of your life and move forward, stop treading water. Make this the first day of the rest of your life.
[addsig]
Thanks again to everybody for your responses. For some of you, had you read my second response, MAYBE you would have the heart to understand my hardships. I am NOT a deadbeat! Have ANY of you EVER been in this situaton? I highly doubt it! If so, maybe you would really know something about ruined credit. Reread the part about how I filed Chapter 7 in July 2001. Since then, I have been able to obtain 2 loans from my bank for 2 cars (one at a time) since then, the most recent $17,000. Also, note that I am rebuilding my consumer credit, now carrying a total of 6 credit cards! No, they don't all have balances, and the ones that do, are very small. Maybe THAT where ALL my extra money is going. What I do know that I am paying EVERYTHING on time, except the mortgae, which is unmanageable at $1400/month. A $15/month payment on a credit card isn't going to hurt my checkbook. I am "ramping up" to position myself to make my mortgage payment when the time comes. Yes, it's been an emotionally draining period of time. But, today IS the first day of the rest of my life, and just last night I had a telephone conversation with one of you that has offered some GREAT advice and yes, DOES believe in me. I am going to fight for my house, and I will stay here. I did already file a Compliant to the Foreclosure, which obviously tied it up for a bit longer... Now the sale is scheduled for March 9. I'll be happy to continue to update all of you on my progress, and maybe I will even be able to advise others on exactly what steps to take when somebody wants something bad enough. Do you know what THAT'S like?
Lisista,
I personally can't help you out but I can tell you that you will survive this. You have persavered through a lot already and if you had the courage to kick out an alcoholic husband you have a good head on your shoulders. Learn from this, take what you learn and put it into practice and we'll be hearing about you as some successful businesswoman.
Good luck,
Q
Lisita, I'm only a newbie investor, but in the past I've been where you're standing, so I've seen it from the inside and will tell it like it is. You're a great person, you feel you're usually reliable and creditworthy, but you've been having a terrible time. You've been screwed by your partner, had bad health and been ground down financially. You hope the bad times are over and if you just hang on things will get better. You feel like your home is your refuge and you desperately want to stay there.
But, the truth is, barring a miracle, the bad times are not quite over. From what I know it is very unlikely an investor will do what you want. Elsewhere on this site someone posted "The first rule of investing in foreclosures is: never leave the owner in the house". Because someone who's defaulted in the past is likely to default in the future and investors don't want that. What an investor may be able to do is make a deal with the bank which includes persuading the bank to forgive you the deficiency. The investor will then sell the house to someone else. You can walk away from the $30,000 monkey, find somewhere new to live and get on with your life. Most likely you'd be best to rent somewhere cheaper for a while, keep your costs down, build your business up and plan on buying a new home once you stabilize your finances.
If you can face up to the need to move you will be able to manage this situation to take the least hurt. If you try to hang on to the house you'll be evicted shortly after the sherrif's sale (I believe Indiana doesn't have a redemption period). But if you can find an investor who is experienced at shortsale negotiations they may be able to get you out of the house with least future debt. So like previous posters said, you need to call those people with "I buy houses" ads. Make sure you get someone experienced in foreclosures who understands your concern about getting the deficiency off your back. Lufos and other experienced investors may be able to help with names.
So grit your teeth, tell yourself this is just another danged bump in the road and that one day you will get an even nicer house to live in - then get on with it. The longer you leave it the less likely it is that anyone can help you. Best of luck!
Hello Lisita,
I use to be one of the top foreclosure experts back in the 80's, now I try to stay away from this because of your type of situation. I have helped thousands of people keep their homes but the sad truth is that 99% only delayed the problem and then lost more money as well as their homes. I have also been in your position of losing almost everything that others think is respectable. So I leave the following thoughts that though seem obvious, were learned from great pain ;
Forget what others consider "the right thing to do" and what is " important". Do what is right for yourself now . What they think just does not matter.
Your credit is bad regardless of what happens now, but thats only for now. So for a while you will be one of the 90% of the world with "bad" credit. It will be good again when your cash flow improves.
The only thing that does matter is your cash flow. Work on this more than anything else and the rest of the world will kiss your feet regardless of your "credit/social status".
I do not mean to appear negative, quite the contrary, I want you to wake up and see what truly counts. And I do believe that God would tell you the same things.
Good luck and God bless.
Ivan
Excellent insight Ivan!! Thank you for the perspective. I have felt the same way as you ahve put in the words. No matter how bad it gets, when you have money/cashflow, the banks and creditors will once again love you!! No mater hao bad the past was. I know I can achive this.