anyone keep their house after bk7

[willbfree]

chad9162 we aren't underwater is why I am current on both of our mortgages.

[chad9162]

chad9162 we aren't underwater is why I am current on both of our mortgages.

That question was for lrprn

[WC Nurse]

I finally got an answer from my attorney regarding us being late on our mortgage when we filed Ch 7:

Whew! I feel a lot better now!

[willbfree]

wcnurse glad to hear your good news. Like you I would not have filed a bk if I knew they would take my house. Happy to know it won't come to that.

[sadandconfus]

what happens if you stay current with the first but i let the second loan go. has anyone try to settle the second after or during a bk7 and keep the house. my first and second are with the same servicing company but different investors. perhaps if i can settle on the second for like 10%, i will be okay paying just the first mortgage. that is contingent on them modifying it. anyone?

[StartingOver08]

You have a better chance of working with the second as far as settlement goes - but the real issue is getting them to remove the lien from the house. You will want to make sure that for whatever amount you settle, you get a mortgage satisfaction (or lien release) from the lender to record as part of your settlement. Otherwise you will have to pay them the lien amount when you sell the house down the road.

[sadandconfus]

someone said that if you don't pay on the 2nd mortgage they don't really foreclose if you are current on the 1st. however, they will put a lien on the house when you sell. is this correct? will they send it to a collection agency then? if they send it to collections do they still keep the lien if you by chance settle with the agency?

[StartingOver08]

someone said that if you don't pay on the 2nd mortgage they don't really foreclose if you are current on the 1st. however, they will put a lien on the house when you sell. is this correct? will they send it to a collection agency then? if they send it to collections do they still keep the lien if you by chance settle with the agency?

The lien was put on the house when you took out the second mortgage.
You have to get the lien release at the time you are able to settle the debt with the lender.

[hamletsdead]

Keep your home after Chap 7? Definitely

You definitely can keep your home, and you DO NOT have to be current with your mortgage payments when you file your petition. I cut a deal with my 1st lender to modify its mortgage, got a repayment plan with the bank holding my 2nd mortgage, and simply blew off the 3rd, since they have no equity at all now [actually, I asked them for a loan modification, and they've been dragging their feet 4 months, and now I'm in Chap 7].

I'm not reaffirming any of the mortgages, and thus will have no personal liability EVER after I get my discharge (just as if they were purchase money loans).

My plan right now is to file a chapter 13 immediately after I get my Chapter 7 discharge and strip the lien off my 3rd mortgage, since they are refusing to talk to me and won't even discuss settling the amount I owe them. Frankly, it's retarded, since they have no equity and thus -- as a practical matter -- can't foreclose since they (a) won't get any of their money back, and (b) will end up having to pay the 1st and the 2nd and all the fees for foreclosing (roughly 10% of sale price).

If you can keep the mortgagors happy who stand to make money if they foreclose, you can keep your home.

[sadandconfus]

hamlet: did you already file bk7? Because my first is so far underwater, my second is worth nothing. I'm trying to modify my first and second. but the second is trying not to budge. what happens if i just keep paying on the first and not pay on the second, do you think they will eventually try to negotiate for a modification or a settlement? I'm turning my paperwork on for a bk7 today. the second sent me an intent to foreclosure letter, but I dont think they can per the other threads.

[chad9162]

the second sent me an intent to foreclosure letter, but I dont think they can per the other threads.

Well actually they "CAN" but the question is will they.....

[chad9162]

You definitely can keep your home, and you DO NOT have to be current with your mortgage payments when you file your petition. I cut a deal with my 1st lender to modify its mortgage, got a repayment plan with the bank holding my 2nd mortgage, and simply blew off the 3rd, since they have no equity at all now [actually, I asked them for a loan modification, and they've been dragging their feet 4 months, and now I'm in Chap 7].

I'm not reaffirming any of the mortgages, and thus will have no personal liability EVER after I get my discharge (just as if they were purchase money loans).

My plan right now is to file a chapter 13 immediately after I get my Chapter 7 discharge and strip the lien off my 3rd mortgage, since they are refusing to talk to me and won't even discuss settling the amount I owe them. Frankly, it's retarded, since they have no equity and thus -- as a practical matter -- can't foreclose since they (a) won't get any of their money back, and (b) will end up having to pay the 1st and the 2nd and all the fees for foreclosing (roughly 10% of sale price).

If you can keep the mortgagors happy who stand to make money if they foreclose, you can keep your home.

Hey hamlet...same guy from loansafe? So its sounds like Navy is not budging. Just curious you have any other loans with them? I'm curious if they're gonna reaffirm my auto loan after I BK my 2nd and CC?