In a Chap 13 Missed Mortgage Payment..Have question

[ats73]

We filed for chapter 13 back in June 2008 to save our houses. We have 2 of them...Long story, we filed the day before the sheriff sale on one of the houses. Recently my hours at work have been cut by 50% and we are no longer able to make the payments on the second house, (the one that was up for the sheriff sale). The mortgage company has filed for a Relief from automatic stay. My question is this, what happens now? How long do we have to vacate the house? Do the forclosure proceedings start all over? or do they pick up where they left off in June? Which was Sheriff sale? Any help would be greatly appreciated.

My mother lives in this house and I would like to know how much time she has to move. We are going to try and negotiate with the mortgage company to see if they will lower our payment and interest rate but I am not very optimistic. We have been dealing with this for over a year, and I think i'm ready to give up and just say take the house. Problem is I know we can do this with a little more time. I'm afraid times up...

[justbroke]

The mortgage company has filed for a Relief from automatic stay. My question is this, what happens now? How long do we have to vacate the house? Do the forclosure proceedings start all over? or do they pick up where they left off in June? Which was Sheriff sale? Any help would be greatly appreciated.

What will happen is that a hearing should have been scheduled. It is usually 20-30 days from the date on the Pleading (Motion for Relief from Say). It's a preliminary non-evidentiary hearing usually. If you agree (consent) to it, or don't show up (or your lawyer show up), it will be granted, and the Mortgage company will be allowed to foreclose on the house.

Here's the real problem. In many States, a foreclosure action is only stayed by the filing of a Bankruptcy Case. That means the foreclosure is still pending. In North Carolina, which is a non-judicial State, the lifting of the stay allows the creditor to continue the foreclosure right where they left off. They may not even have to notify you (re-notify you) of a sale date!

My mother lives in this house and I would like to know how much time she has to move. We are going to try and negotiate with the mortgage company to see if they will lower our payment and interest rate but I am not very optimistic.

It is very likely the Bank will get their relief from Stay... and then try to work with you before pursuing a foreclosure action.

if that doesn't work out, then the days in that home may be numbered. Again, the timeline depends on the underlying non-bankruptcy law around foreclosures for your State.

[ats73]

Thanks for the quick response. Now I just wish I knew if the original foreclosure is "still pending" or not. I sure hope it all goes how you said, it would be nice if they would work with us before pursuing forclosure again. My biggest fear is that it will go right to sheriff sale. Do you know how I could find out? I'm in Wisconsin if that makes any difference.