What is the quickest way to stop a foreclosure?
Posted by admin on 10 May 2008 11:38 pm. Filed under Personal Finance.
llewis499 asked:
What is the quickest way to halt a foreclosure. I do not have the cash to bring it out of arrears and the bank has accellerated the note. Is Bankruptcy the best way to stop it for now. I have placed it up for sale and have a couple of parties interested. I am running out of time. The bank does have mortage insurance on the note . Please give solid advice.
What is the quickest way to halt a foreclosure. I do not have the cash to bring it out of arrears and the bank has accellerated the note. Is Bankruptcy the best way to stop it for now. I have placed it up for sale and have a couple of parties interested. I am running out of time. The bank does have mortage insurance on the note . Please give solid advice.
On May 13th, 2008 at 7:50 pm
Sell and sell it fast for at least as much as you owe the bank on the mortgage, which will at least save your credit from being ruined as bankruptcy certainly will. Good luck.
On May 16th, 2008 at 9:13 am
Sell it for as much as you can so you can pay off the mortgage and have a couple of bucks to help you get back on your feet.
With the house gone, you’ll need a place to live and you’ll need some money for security deposits, first/last month’s rent, etc.
If you sell the house for less than you owe, which is a “short sale”; it will still affect your credit and you will have to pay off the balance and I think the IRS can get involved and tax you on the balance.
I would check out the bankruptcy deal, I know it has changed, but if I couldn’t get the house sold in time; I’d certainly look at that option. Call a couple of bankruptcy lawyers in your area for a free consultation now, while you still have time. Others I know that went the bankruptcy route, were receiving credit card offers within a year.
On May 16th, 2008 at 1:40 pm
I believe the answer is finding a buyer fast.
On May 17th, 2008 at 12:42 pm
Check out filing chapter 11. If that doesn’t work it’s better to sale to someone who will make the arrears payments.take up the present payments and give you a couple of thousand. You’ll have to start over again but that’s better than letting the Bank take it. If they take it your credit is ruined anyway and you’ll have nothing. You should see a Real Estate Attorney. With chapter 11 you get to keep what you and make small payments. It is a form of Bankruptcy. Don’t sit around feeling sorry for yourself, get out there and get BUSY.