QUESTION: My CH 7 Asset Case Has Now Been Closed, But What Can I Do

[booboo]

About a 2nd home? This 2nd home was not reaffirmed, but has a relative "squatting" and paying the 1st Mortage on it, the 2nd that was taken out has not been paid in over 18 months.

My question is this, the Trustee has now closed the case, sold my "interest" of claim to the 2nd home to this relative inclusive of all leins, encumbrances, etc, so essentially I am out of that picture as far as any claim to any value there. I have called the Mortgage Co (wells Fargo) and told them that this case is now closed and I wanted my name OFF the title as I did not reaffirm and did not want any liability assiociated to the property....Injury, etc. They told me as long as the Mortage is being paid, there was nothing they could do. The 2nd Mortgage Co said as long as the case was still opened there was nothing they could do as far as starting a foreclosure. The 2nd is owed $57K, the 1St is $59K, the home is worth about $140K. Why would the 2nd not move for foreclosure to buy out the 1st and sell to get their money back?\

And how in the world do I get my names off these properties?

BooBoo

[HHM]

If the trustee sold your interest, there should have been some sort of recording that took place at the county recorder. That should take care of the "deed". As for the mortgages, there is NOTHING you can do until the mortgages are paid in some way (either by a refi, or foreclosure). Keep in mind, all a Bk discharge is is an injunction against collecting a debt against you, the BK does not legally "eliminate" debt. So long as those mortgages exist, your name is on them.

As for the 2nd mortgage, who can say. It will probably only be a matter of time if the case just closed. But in this market, many seconds don't want to make the investment to buy out a first, regardless of value of the home.

[debee]

the Trustee has now closed the case, sold my "interest" of claim to the 2nd home to this relative inclusive of all leins, encumbrances, etc, so essentially I am out of that picture as far as any claim to any value there. ... I wanted my name OFF the title as I did not reaffirm and did not want any liability assiociated to the property....Injury, etc... And how in the world do I get my names off these properties? ....

The terms can be confusing. If your "interest" has been sold, that means your "ownership interest" which means you are no longer owner of record. You can confirm this by doing as HHM suggested and checking with the county recorder's office. If the relative is the "owner of record" there, your name is off the property and you are no longer liable for anything associated with the property - like injury.

At some point down the road, should either lender decide to foreclose, the foreclosure will appear on your record then.