341 went great, now what happens with house we're surrendering?

[aljohnson007]

I surrendered a property in my Ch7, the bank got a final judgement one day after the 60 day objection period and then cancelled the sale last week. It seems to be the rage with banks doing a "Walkaway" so they can avoid HOA fees and taxes. My property had depreciated to the point they won't be able to sell it for what is owed so they planned on just letting it sit. I don't know how this is going to play out, but I filed a Quit Claim today and put the title where it belongs, Bank of America. The Clerk told me it should work just fine and since I no longer have a mortgage, it only cost $10.50 to record. If anyone plans to do this also, advise you run it by your attorney first

[debbie42]

Thanks for sharing that -I may do the same thing down the line (after checking with attorney of course)...I hadn't heard of banks doing that walkaway stuff but cannot say that I am surprised by it either-esp. from BoA!

When you say you no longer have a mortgage, you mean because you're discharged?

[aljohnson007]

Google "Bank Walkaway" for more info.

[tkharvey]

Debbie42:

we are in Florida as well and are filing next week and surrendering our home. OUr attorney, however, told us he recommends staying in the home (while saving deposits for rental) as long as we can. He never told us we had to be out in sixty days due to Florida law. I'm confused? Anyone?

[MiSSMaGoo]

Google "Bank Walkaway" for more info.

So I googled that... Im still a little confused. lol So as long as I filed BK on my foreclosure I'm safe from any possible coding violations or taxes from the property, right? And if the bank canceled the foreclosure sale date, can someone still live in the house? Sorry if that doesn't make the most sense, but Im confused and at one point thought my previous mortgage company would do something like that b/c the huge depreciation amount and b/c every other townhome was in forclosure as well

[limage]

I'm in Florida and just filed and I am surrendering my condo that is in foreclosure from the bank (possibly dismissed due to lack of activity) and the association. My attorney has NEVER said I would have to move out if when I file- and he knows that timing of moving is extremely important to me. I am trying to juggle emotional needs to leave and financial reasons to stay - and having a time-line helps. Also, I still don't have a definite answer about owing the association fees after I file- my attorney said this is really a judge's decision if it makes it to court. Now that the association will file foreclosure quickly, I'm starting to have a time-line. I wish I could move this weekend.

I don't think anyone, anywhere can force someone to move without an eviction.

[momisery]

I am in MO and we were told to stay in the house we are surrendering. We are keeping the yard up, and the house of course just like we always did. Just because we are broke doesn't mean that we are not good respectable people. Banks would be stupid to toss you out because then they have to maintain the place. I wonder if they would ask you to pay rent at some point in areas where you can't sell a house? Here, they will probably be able to sell ours so we will be out.

[LSUTiger32]

I mean I am taking my chances. I don't have the money to pay the homeowners insurance so that's that. I am not sure I would pay it even if I had it.

[OhioFiler]

AlJohnson is spot on. More and more banks are refusing to take the property to avoid the tax and other liabilities associated with these properties. If the bank doesn't foreclose it's your house and you remain responsible for it.

[OhioFiler]

LSU...you may be 4th in the nation right now but keeping liability on any property you own would be a smart idea. If someone is injured on your property and sues you today you're stuck with that loss with no recourse.

[momisery]

So, if it is our house does that mean for free? Or just until things turn around and then they will kick people out? I am just curious how this will all turn out since there are so many people losing homes. I just wonder if at some point the banks will not tells us to just pay the Home owners, and the taxes and keep it up and we can stay there? Not so much in my state I guess, but in CA or FL ..

[aljohnson007]

If your house goes to foreclosure, you do not have to pay the taxes but if there are HOA fees, it is the owner's responsibility until the title changes out of your name. What a system of justice!

[sclose63]

Hi. I filed BK on 9/21/09 and surrendered our house under the BK. We have since moved to another state and now after a few months being out of the house we get a call from the county code violations dept. Apparently they have gone by our house due to a call into them (mysteriously) and noticed that the fence my husband put up around the house is just 3 inches more than it should be, which it's only suppose to be 6ft tall. Anyway, even though I told them that the house was surrendered under BK they tell me that the property is still my responsibility and we could be fined a lot of money if we don't rectify the problem. Does anyone know if we can be fined for a property we no longer live at and has been surrendered into BK? I mean like how long is it going to be my responsibility even though I don't live in it anymore. Also I noticed a couple of people have had a problem with Bank Of America. Our house was recently bought out by Bank Of America from our original lien holder. Hopefully someone can shed some light for me.

[Amy26]

Yes, the house is still your responsibility until the deed is transferred out of your name. You are responsible for any vandalism, property damage, keeping up with the lawn...etc... you also have to keep paying your HOA fees if you have any.