Foreclosure in Montpelier>Question Details

Judemilstein, Home Owner in 05602

About to foreclose, but CAN sell & don't owe more than worth-Once decision to sell, must I continue struggle to catch up back-due

Asked by Judemilstein, 05602 Fri Feb 11, 2011

mortgage?Destitute!

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7
I live in VT so these are ideas based on what happens here in terms of the legal stuff. If you haven't yet received a sheriff's notice a TRUE foreclosure brought to your door, you have a lot of time to work out what you want to do. My lawyer told me a year ago that I will still have 9mos to 1 yr before I have lost the house and have to leave AFTER getting the sheriff at my door. Still no sign of him and I haven't paid the mortgage for 2 years; 1.5 yrs ago I got a 'Notice of Default'. I can sell the house up the the very day of the auction. THAT is a lot of time. I have not yet received the sheriff's notice and have been using whatever cash I have to put the house in tip-top shape and upgrade some things to sell this coming Spring. On top of that my mortgage company, GMAC which got govt money, has been successfully sued by the state of Mass and is being seriously looked into by VT and other states. I reckon I still have a long time before I really lose my house. So I suspect you do, too. Like you, my house is worth more than what I paid and more than what I owe. I qualified for the HAMP loan modification but they refused it anyway. (Since then, I have learned that I'm better off.) The state of VT has a new law that they have to go to mediation if the owner wants to...another delay. So don't be rushed, certainly not by realtors. I will be selling my home myself for less than it is worth, but I will get enough money to pay back the mortgage and fees (if I still owe them all the foreclosure fees, depends on how VT pursues the company), AND I will have something left over to get a new place. Got a kid still in school so we have to live somewhere. Don't give up till you've really explored your options. Good luck.
0 votes Thank Flag Link Mon Dec 19, 2011
An educated guess is whatever you owe the lender will need to be satisfied before, or at closing, in order to complete the sale.
Web Reference: http://www.golftobeach.com
0 votes Thank Flag Link Mon Feb 14, 2011
Sounds like you need to cut your losses .....

if you've been struggling the last 2 years, and you're about to be foreclosed (what did you receive? A Notice of Default, Notice of Trustee Sale?), then immediately contact a realtor who can help you sell the property.

If you're having a hardship, such as your inability to keep up with the mortgage payments (financial reasons), then you may qualify to sell this as a short sale. in a short sale, your unpaid balance will be "forgiven". See Mortgage Forgiveness Debt Relief Act and Debt Cancellation for more info.

http://www.irs.gov/individuals/article/0,,id=179414,00.html

But the worst thing you can do at this point is to wait ....contact a realtor immediately and get your property on the market.

You may find yourself in a situation where you will breathe a sigh of relief once it's sold.

Good luck!
0 votes Thank Flag Link Mon Feb 14, 2011
Sorry to hear about your situation. You still might have some other options, but you'll need to act quickly. I read your other post, and made a few recommendations. So I won't repeat them here (to void being redundant).
0 votes Thank Flag Link Fri Feb 11, 2011
Hello Jude,
It sounds like you need to contact your lender to discuss with them the possibility of selling your home rather than be foreclosed on. I would think that they would want to see an effort on your part to make a payment on your mortgage to show good faith. I suggest that you contact an attorney who has experience in these situations to assist you in working with your lender.
Good luck!

Laura Feghali
Prudential Connecticut Realty
0 votes Thank Flag Link Fri Feb 11, 2011
If I read the question correctly it sounds like you are in a foreclosure process already so I assume you are behind on payments. You say you owe less than what the house is worth, but you have not yet decided to sell. I hope I got that correct.

You may be too late to sell depending on how far along the foreclosure process is. In today's market selling is not an easy task sometimes and it could take months. Your bank might wait and they might not, it depends on your situation. You need to be talking with the bank and I would have suggested listing the house long ago. Talk to the bank to see what you can do to hold off the foreclosure process so you can sell the house.
0 votes Thank Flag Link Fri Feb 11, 2011
Confused with your question

You can sell the property contact a Realtor

Contact lender if you want to catch up on the outstanding balance due

Lynn911 Dallas Realtor & Consultant, Loan Officer, Credit Repair Advisor
The Michael Group - Dallas Business Journal Top Ranked Realtors
972-699-9111
http://www.lynn911.com
0 votes Thank Flag Link Fri Feb 11, 2011
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