Bank wants stay lifted on foreclosed house?

[SweetGeorgia]

We filed non-consumer Ch7 on 7/12/2010. 341 Hearing is coming up August 11. I just got notice that Wachovia is asking for relief from the stay, although the loan was for a house that foreclosed in December.

I will talk with our atty tomorrow and obviously we'd oppose any deficiency proceedings.

This was a first mortgage on a Michigan house that we bought 5 years ago and lived in until 2 years ago. Our "tenant," who never paid the rent, may still live there and perhaps Wachovia wants to evict her. Are they just being super-cautious, asking for permission to take over property they already own? Or does this have some other meaning?

[newbie2]

We filed non-consumer Ch7 on 7/12/2010. 341 Hearing is coming up August 11. I just got notice that Wachovia is asking for relief from the stay, although the loan was for a house that foreclosed in December.

I will talk with our atty tomorrow and obviously we'd oppose any deficiency proceedings.

This was a first mortgage on a Michigan house that we bought 5 years ago and lived in until 2 years ago. Our "tenant," who never paid the rent, may still live there and perhaps Wachovia wants to evict her. Are they just being super-cautious, asking for permission to take over property they already own? Or does this have some other meaning?

No other meaning, nothing sneaky about it. Even though you filed for bankruptcy the lender still has to follow the legal guidelines when it comes to a foreclosure. There is a 6 month right of redemption in Michigan and you have the added issue of a tenant still in the home. In order for the lender to complete the foreclosure process they have to file to lift the automatic stay.