Best timing to foreclose in a c7

[ozarkmiss]

We have not filed yet. Got notice of FC in 30 days. I could get the money/paperwork together to file c7 on rather short notice - and stall the FC. Atty said the timing of the FC is a grey area, but that I'm fine either way. (Don't want to do what's easiest for him, but best for me)

We do not occupy that house - it's in the rear view mirror.

Your experiences?

[AngelinaCatHub]

To bad you are not using the place. Get rid of it fast for liability reasons. Otherwise, several banks have slid to stop on all foreclosures. They most likely realize the houses go to pot once empty. It would be free rent and I would advise now, anyone who is going under in the house, stay as long as the Sheriff does not put you out. LOL. You will have plenty of warning when that comes. 'Hub

[ozarkmiss]

Thanks ACH. We did rent it out for 2+ years. Gave up on that when we moved out of state and repairs started stacking up. Took the bank 5 missed payments to send the notice of FC. Hear you though, let them take it or it could be an albatross (in name only) for awhile.

[KevFinnerty]

I can't answer your poll but would like to hear more on this too. My house has foreclosure imminent. Atty & paralegal told me originally that I "had plenty of time" b4 I get tossed out (true) and that it didn't matter timing wise as far as filing bk. In fact just last week the paralegal suggested that she hold off on filing until just before the sheriff's sale to give me as much time as possible to stay in the house. But then, with no explanation, their tune has changed. Now they say they need the bk filed asap before any judgement occurs to give the rights to the bank to take the house. I am asking why they say this now but I don't have a real answer. Would like to hear people's experiences and reasons why it is better to file b4 or after judgement etc. In my case I have equity in the house and want the trustee to take it, to try to sell it, to get my exemption, rather than have the bank foreclose. I guess that could make a difference???? I am so confused...

[researchnerd]

If you are over median and/or close to failing the means test, include your mortgage in the BK and state your intention to surrender it. You may be able to claim the mortgage payment amount on your expenses, in addition to or instead of your current housing expenses, because you are legally liable for it until foreclosure. In my state (GA) there is quite a bit of legal precedent for this, and for us, it made the difference between barely passing the means test and showing clearly that we were in way over our heads. Talk to your attorney about whether this may be permitted in your jurisdiction.

[ozarkmiss]

Bingo! Precisely the type tidbit I was looking for. Will ask how our jurisdiction handles that.

Thank you fellow researchnerd (DH also unemployed since 08) ;-)