need help with doing a short sale after being discharged from chapter 7

[tma]

My husband and I filed chapter 7 in February 08. The bankruptcy has been discharged and our home has begun the foreclosure process. We tried to sell the house even before we filed,but could not due to the fact we were upside down.

Our relator suggests we do a short sale, with the short sale we have a first and a second so we understand that we would still be responsible for some of the debt. The question is...is it worth doing a short sale after bankruptcy? Will we have a bankruptcy in addition to a foreclosure or will we save face with doing a short sale?

I hope this makes sense it all seems very complicated to us.

We really appreciate anyone's knowledge in this.

[Mark80]

[monkatom]

If they did not reaffirm they can still walk away. I was discharged in May and wanted to keep house and did not reaffirm. I have since decided I may walk away and allow house to be foreclosed on which is allowable per my attorney and by many members on this forum.

[StartingOver08]

If they did not reaffirm they can still walk away. I was discharged in May and wanted to keep house and did not reaffirm. I have since decided I may walk away and allow house to be foreclosed on which is allowable per my attorney and by many members on this forum.

Monkatom is right. If the OP has not signed reaffirmation papers DO NOT DO A SHORT SALE - it will not help the OP at all. In fact, it could actually hurt the OP's situation if the lender tries to back door another note for the deficiency.

I am a Realtor too. I do not understand any realtor suggesting a short sale after the OP has filed and been discharged from a CH 7 BK. It makes no sense to the seller. Check with your attorney and your paperwork to make sure you did not reaffirm. If you did not reaffirm, just let the bank foreclose.

[justbroke]

Yes, I'm missing something here. If the Statement of Intentions was to surrender and the OP didn't re-affirm... why are they trying to do a short-sale?

I'll tell you why. Some Realtor came along and said "hey, I'll sell it for you... don't worry about anything". They are just trying to earn a commission... and all it's doing is dragging out the enevitable conclusion.

First, the short sale probably won't even work in the end.

Second, and last... you don't owe anything. Just walk away and let it foreclose!!!

Disclaimer: opinion based on the OP having not re-affirmed the debt.

[HHM]

I agree, there is absolutely no point in doing the short sale (in fact, there is never any point in doing a short sale under any circumstances).

You are just going to complicate things. Just allow the foreclosure to complete and move out around the scheduled sale date.