Foreclosure in Wichita>Question Details

Mindy, Home Buyer in Kansas

I owned my property free and clear, but then foolishly allowed my nephew to get a loan against it.

Asked by Mindy, Kansas Sat Oct 11, 2008

He didn't pay the mortgage and I didn't find out until it was nearly 7 months behind. I didn't have the money to catch up and subsequently filed for bankruptcy. The bank wouldn't work with me since I didn't borrow the money, but I live on the property and have for 11 years. The bankruptcy judge decided to rule for the bank and let them foreclose as they wouldn't negotiate on the past due amount and interest. It is valued much less than the amount my nephew borrowed at this time. What can I do to try and get the bank to negotiate for a true value of the property? I have no obligation to the loan and the bank can't come after me, but I don't want to lose the home I have lived in for 11 years. Should I get an appraisal for the real value and try to negotiate? My bankruptcy lawyer really messed this up for me and hasn't given me good advice. How long does it take to hear something after the judges disposition?

Help the community by answering this question:


What did your nephew buy with the loan? Maybe you can sell it. Good Luck
0 votes Thank Flag Link Sun Oct 12, 2008
Yes, he was on the title, but when it went into foreclosure he did a quit claim deed, so it is back in my name. I did sign the mortgage, but not the loan.
0 votes Thank Flag Link Sat Oct 11, 2008
I'm a bit confused. In order for your nephew to borrown on the property, his name would have had to been on the title. I am guessing his name was on the title with yours? The he borrowed, signed a note and a mortgage, and you signed neither the note nor the mortgage? Usually they would ask you to sign the mortgage as a co-owner (no obligating you for re-payment on the loan, but making foreclosure would be simpler because the mortgage is the security instrument that pledges the property as security on the loan). How is it that it is valued much less than what your nephew borrowed? Banks almost never want to own property but they do want to receive what is owed on the loan - or as much as think they can possibly get. I might consider a real estate appraisal on the property, but first I would talk to a knowledgeable real estate attorney in your area. Good luck!
Web Reference:
0 votes Thank Flag Link Sat Oct 11, 2008
Search Advice
Ask our community a question
Email me when…

Learn more

Copyright © 2016 Trulia, Inc. All rights reserved.   |  
Have a question? Visit our Help Center to find the answer