Abandonment of real estate

[deyoonvaca]

I own a rental property and a primary that I wish to short-sell. I filed ch7 40 days ago.

1. How do I request the abandonment? I requested it through the trustee but did not receive a court document; just a letter from the trustee stating that he approved of the abandonment.

2. On the rental property - if I get the home abandoned from the bk, will the lender be able to pursue the deficiency? If so, I'll forget about the short sale.

Thanks for the help

[frogger]

You want to short sale? Have you re-affirmed the debt? Why not just file and walk away?

[deyoonvaca]

The shortsales have been going for months and are finally ready to close. Also, the realtors are friends of mine and I'd like to see them finally get paid. Any advice?

[frogger]

The shortsales have been going for months and are finally ready to close. Also, the realtors are friends of mine and I'd like to see them finally get paid. Any advice?

You've filed, have you had your 341? Has the trustee abandoned interest in the property? Are you going to have a balance due that you still must pay?

And most of all.... do you have an attorney and have you discussed this with him?

[deyoonvaca]

would you like to assist me? you haven't answered any questions...

[lrprn]

would you like to assist me? you haven't answered any questions...

In order to help you sort things out, we often need to ask more questions to get more information. The questions Frogger is asking you are necessary to answer your original questions.

First answer the clarifying questions Frogger asked you. Then it's likely you'll get the answers you came here for. (And by the way, you're also more likely to get answers if you don't criticize the members that are trying their best to help you.)

[deyoonvaca]

the original question was...

how do I receive a motion to abandon for real property? do I file with the court, or the trustee? the 341 meeting was a week ago.

[BobMango]

the original question was...

how do I receive a motion to abandon for real property? do I file with the court, or the trustee? the 341 meeting was a week ago.

It's not real clear what you are asking for. Do you want the trustee to abandon the property? Or the court to accept your abandonment of the property? Generally , the trustee will make a determination as to what property they will abandon. You should see this about 10 days after your 341, unless they intend to seize something. I'm not sure there is anything you can do to encourage the court to speed up. If you want to make sure the trustee will allow the short sales to proceed, I'd explain what you're doing to the trustee through your attorney and ask for permission to proceed.

[Brazzy]

What he is asking is how can he continue with the short sale. Basically you will have to leave it in the hands of the creditor. The stay in place when you file pretty much stops them from conducting the sale. They will not negotiate on an account that is currently protected by BK. What you are looking for is for the trustee to abandon their interest in the property. Chances are on pacer you will see a "trustee's report of no distribution". That is what he is asking.

Getting the trustee to agree to abandoning the interest is fine in letter form. Odds are the creditor will not move on the property until the discharge as well. It is completely up to the creditor. Some may look to file a motion for abandonment while others will wait until the case is discharged and closed. It depends on their SOP. Some creditors are more aggressive than others.

Bottom line is leave it in the hands of the creditor to take the next step. You will not be responsible for a deficiency balance as long as you did not reaffirm. If you have reaffirmed it sounds like you still have time to rescind as the 341 was only a week ago.