In March '07 my wife and I's bankruptcy was officially discharged. As part of that we included the house and moved out. We lived in a rental for a year and then moved back to Indiana when I found a new job. During the move back we tried to get a house and the lender told us it wouldn't be a problem. However, come to find out later that it was.
We had signed contracts with the home owners / real estate agents, all paper work seemed in place, we even had a pre-certification letter from the lender saying we were good. We put in a 2k deposit and had all the inspections. Everything seemed to be moving along great. That Wednesday we packed all our stuff up in Florida and sent the moving trucks to the new house. It was very exciting. Then they dropped the bomb on us that afternoon when we landed in Indiana. Sorry, you can't get the house, you have to wait 3 years from filing BK. We scrambled but found a new place to rent, sucked it up and lost our 2k deposit. We were angry but unsure what to do.
A year later, Keeping in mind we were approaching that magic 3 year waiting period, we started looking for a house in October '09 knowing that March '10 we would be good to go. We came across a fantastic deal on a house. We told them we loved it but we couldn't buy until March '10 when our 3 year wait was up. They then said, they were stuck with the house and were making 2 mortgage payments, the house was empty and asked if we wanted to pay them rent and move in. It would benefit both of us. So we agreed. The real estate agent and broker wrote up a lending agreement and we put in a 3k deposit.
Last month we contacted the broker and started the paperwork to get the house. A few weeks ago, the broker called with bad news. Apparently Florida had just now started the court process to foreclose the house and our name is still on the title! Yet we had been getting foreclosure notices since '07 when we moved out, got served court papers and everything so didn't think much of it. Now the lender is coming back saying we have to wait 3 years FROM the date of the foreclosure and since they are just now getting around to it, it could be another year or so from that date! WHAT?!? I was/am furious about it.
We have worked hard these past 3 years to get our scores back up (in upper 600's / low 700's) and live a debt free life. No credit cards (only a car loan and a medical loan to rebuild credit) and no late payments for anything. We have been living on "rice and beans" and have a good budget. We are buying a house within our means and in fact gives us more breathing room than our "rental" gave us the past year.
They are still trying to work us a deal saying if we can get our name off the title they might be able to help us. Someone told my wife about doing a deed-in-lieu but I'm pretty sure that is a bunch of hogwash since those are done to prevent a foreclosure/bk. We included the house in the BK and that's been over with 3 years now.
What frustrates me is the kids love their schools and have made new friends. I hate to keep uprooting them like this. We have moved 3x in 3 years and I would rather just stay in the house that I want to purchase. I'm also pretty ticked off because now we might be out this 3k deposit too. If we have to wait 3-4 more years, what is the point? By that time we hit 7 years from the BK and stuff starts dropping off the credit reports... ugg.
So my question is this - Is there any way for us to get our names off the title or any other option for us? Are there any lenders out there that could do anything? The broker we have said he's gone through 7 different ones and none of them could help. It all comes back to our names on the title still...
We had signed contracts with the home owners / real estate agents, all paper work seemed in place, we even had a pre-certification letter from the lender saying we were good. We put in a 2k deposit and had all the inspections. Everything seemed to be moving along great. That Wednesday we packed all our stuff up in Florida and sent the moving trucks to the new house. It was very exciting. Then they dropped the bomb on us that afternoon when we landed in Indiana. Sorry, you can't get the house, you have to wait 3 years from filing BK. We scrambled but found a new place to rent, sucked it up and lost our 2k deposit. We were angry but unsure what to do.
A year later, Keeping in mind we were approaching that magic 3 year waiting period, we started looking for a house in October '09 knowing that March '10 we would be good to go. We came across a fantastic deal on a house. We told them we loved it but we couldn't buy until March '10 when our 3 year wait was up. They then said, they were stuck with the house and were making 2 mortgage payments, the house was empty and asked if we wanted to pay them rent and move in. It would benefit both of us. So we agreed. The real estate agent and broker wrote up a lending agreement and we put in a 3k deposit.
Last month we contacted the broker and started the paperwork to get the house. A few weeks ago, the broker called with bad news. Apparently Florida had just now started the court process to foreclose the house and our name is still on the title! Yet we had been getting foreclosure notices since '07 when we moved out, got served court papers and everything so didn't think much of it. Now the lender is coming back saying we have to wait 3 years FROM the date of the foreclosure and since they are just now getting around to it, it could be another year or so from that date! WHAT?!? I was/am furious about it.
We have worked hard these past 3 years to get our scores back up (in upper 600's / low 700's) and live a debt free life. No credit cards (only a car loan and a medical loan to rebuild credit) and no late payments for anything. We have been living on "rice and beans" and have a good budget. We are buying a house within our means and in fact gives us more breathing room than our "rental" gave us the past year.
They are still trying to work us a deal saying if we can get our name off the title they might be able to help us. Someone told my wife about doing a deed-in-lieu but I'm pretty sure that is a bunch of hogwash since those are done to prevent a foreclosure/bk. We included the house in the BK and that's been over with 3 years now.
What frustrates me is the kids love their schools and have made new friends. I hate to keep uprooting them like this. We have moved 3x in 3 years and I would rather just stay in the house that I want to purchase. I'm also pretty ticked off because now we might be out this 3k deposit too. If we have to wait 3-4 more years, what is the point? By that time we hit 7 years from the BK and stuff starts dropping off the credit reports... ugg.
So my question is this - Is there any way for us to get our names off the title or any other option for us? Are there any lenders out there that could do anything? The broker we have said he's gone through 7 different ones and none of them could help. It all comes back to our names on the title still...
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