The bank visited our property?

[Sweetpea3829]

The skinny:

Single mortgage on a three-family in default since August, discharged (not reaffirmed) in a BK7 in 2007. Currently seeking a modification to the loan. The loan is over 100k upside down.

In January, we left the house and moved to NY. The same weekend, our 3rd floor tenant told us his friend's house burnt down. We told him his friend and his friend's wife and daughter could stay in the apartment rent-free for a period of three months to get back on their feet. We wrote up an official lease with them, etc. They're due to move out at the end of June and we've decided to not ask for rent from them at all.

Our 3rd floor tenant began giving us some minor difficulties immediately after we left. Paying late, not returning calls regarding the late rent, etc.

We were upfront with our tenants and informed them that we were seeking a modification on the house. We did NOT inform them that the loan was in default, as we felt there was no need to state such, given our intent to keep the property. We felt that if the modification fell through, we'd inform the tenants then.

This weekend, our 3rd floor tenant refused to pay May's rent and states he is moving out for 6/1.

Today, his friend called us and informed us that several people from the bank were at the property looking around and that his wife overheard them saying the bank was going to be taking the property back.

Is this typical? Does the bank typically come to the property and look around? And if so, what would you guys expect would be our timeframe before they set a foreclosure sale date.

Thus far, I have only received a notice of acceleration from them. I have not received an official NOD, that I'm aware of.

The house is in RI, a nonjudicial state, and the terms of the mortgage agreement do allow for nonjudicial foreclosure.

[Sweetpea3829]

Anybody?

[LadyInTheRed]

When a loan goes into default, it's not unusual for a bank to send somebody out to check on the condition of the property and to see if it is occupied. I don't know whether the fact that they did so says anything about when they may foreclose.

[BigJohn]

My bank claims they check the properties if the property is in default and/or in bankruptcy.

Our bank claims that if 'their' people can't tell if anybody is living in the home, they can go look in the window(s). They claim they have this right.

I claim to be able to see in one of my windows, they would have to go over a chain link fence or a mortar wall. The bank claims they can do this. I claim if they try to look thru the window(s) they will not be able to see inside. They claim they have the right to be able to see what is inside. I tell them that means they will have to break into the house. They claim they never have broken into the house but at the same time can not tell me how they can verify if somebody is living inside if they can not see inside.

I am interesting in finding out what days they were at our house. I suspect one of the days was when somebody entered our property and left 2 gates and one door open in which one of our dogs got out and got hit by a car. The dog survived but I would like to be compensated for the vet bill.

[Sweetpea3829]

I'm not sure about a bank's legal right to be on a property...my guess is that, especially if the loan is in default, the bank probably does have a legal right to enter the property, though I suspect they do not have a right to enter the dwelling itself, unless they have sufficient reason to believe the house is vacant and at risk of imminent damage. But that's just my guess.

We do have no trespassing signs clearly posted in multiple locations.

Moreover, it seems even more suspicious that representatives from the bank would be standing around outside the property discussing how the bank was going to be foreclosing. I'm not doubting that bank reps showed up, but I don't buy the story as it's been related to me.

We were finally able to convince our 3rd floor tenant to pay May's rent. He's been concerned that we were going to stick him the deposit when he moves out. We won't. That's not how we roll.

I'm just nervous that if the bank was visiting the property, are they about to set a sale date? We are trying to modify the loan...but we absolutely need the foreclosure, if it happens, to wait until after we've closed on our new home. Which should be in another four to six weeks.

[AngelinaCatHub]

The skinny:

Single mortgage on a three-family in default since August, discharged (not reaffirmed) in a BK7 in 2007. Currently seeking a modification to the loan. The loan is over 100k upside down.

In January, we left the house and moved to NY. The same weekend, our 3rd floor tenant told us his friend's house burnt down. We told him his friend and his friend's wife and daughter could stay in the apartment rent-free for a period of three months to get back on their feet. We wrote up an official lease with them, etc. They're due to move out at the end of June and we've decided to not ask for rent from them at all.

No good deed goes unpunished.

Our 3rd floor tenant began giving us some minor difficulties immediately after we left. Paying late, not returning calls regarding the late rent, etc.

He saw your righteousness. See above.

We were upfront with our tenants and informed them that we were seeking a modification on the house. We did NOT inform them that the loan was in default, as we felt there was no need to state such, given our intent to keep the property. We felt that if the modification fell through, we'd inform the tenants then.

You talk too much.

This weekend, our 3rd floor tenant refused to pay May's rent and states he is moving out for 6/1.

Are you holding a deposit? Keep it, otherwise sue in small claims.

Today, his friend called us and informed us that several people from the bank were at the property looking around and that his wife overheard them saying the bank was going to be taking the property back.

Possibly or not. Gossip to date. Ignore even if true.

Is this typical? Does the bank typically come to the property and look around? And if so, what would you guys expect would be our timeframe before they set a foreclosure sale date.

If so, you will be notified by law.

Thus far, I have only received a notice of acceleration from them. I have not received an official NOD, that I'm aware of.

The house is in RI, a nonjudicial state, and the terms of the mortgage agreement do allow for nonjudicial foreclosure.

When a loan goes into default, it's not unusual for a bank to send somebody out to check on the condition of the property and to see if it is occupied. I don't know whether the fact that they did so says anything about when they may foreclose.

This is true but could very by State.

My bank claims they check the properties if the property is in default and/or in bankruptcy.

Our bank claims that if 'their' people can't tell if anybody is living in the home, they can go look in the window(s). They claim they have this right.

They do unless they have to go to extreme. Example, if from the street they can walk up to a window, that is fair. If they break a lock, cross a closed fence, or do anything that constitutes trespassing, they break the law.

I claim to be able to see in one of my windows, they would have to go over a chain link fence or a mortar wall. The bank claims they can do this. I claim if they try to look thru the window(s) they will not be able to see inside. They claim they have the right to be able to see what is inside. I tell them that means they will have to break into the house. They claim they never have broken into the house but at the same time can not tell me how they can verify if somebody is living inside if they can not see inside.

They cannot trespass. As above, they cannot B&E. They can (as in FL post a notation upon the door that if this house looks abandoned you have X amount of time or the locks will be changed.

I am interesting in finding out what days they were at our house. I suspect one of the days was when somebody entered our property and left 2 gates and one door open in which one of our dogs got out and got hit by a car. The dog survived but I would like to be compensated for the vet bill. You would have to get a lawyer and subpenea this. Sorry. It could have happened, but then some kid could have done that. Either way, it would be difficult.

I'm not sure about a bank's legal right to be on a property...my guess is that, especially if the loan is in default, the bank probably does have a legal right to enter the property, though I suspect they do not have a right to enter the dwelling itself, unless they have sufficient reason to believe the house is vacant and at risk of imminent damage. But that's just my guess. Your guess is correct unless it is appearant the place is empty. They have to go by your local law.

We do have no trespassing signs clearly posted in multiple locations.

Moreover, it seems even more suspicious that representatives from the bank would be standing around outside the property discussing how the bank was going to be foreclosing. I'm not doubting that bank reps showed up, but I don't buy the story as it's been related to me. Like I said above, that is doubtful. If they discussed your business to anyone, that is "Slander per se". This is a very serious and could net a great law suit against them.

We were finally able to convince our 3rd floor tenant to pay May's rent. He's been concerned that we were going to stick him the deposit when he moves out. We won't. That's not how we roll. You are good people. The whip was the deposit as stated above. Leave "friends" if you can.

I'm just nervous that if the bank was visiting the property, are they about to set a sale date? We are trying to modify the loan...but we absolutely need the foreclosure, if it happens, to wait until after we've closed on our new home. Which should be in another four to six weeks. You can extend this time if you work with our communty. People far more experienced that I can tell you how. What is your real desire?

I hope this helps a little. 'Hub

[Sweetpea3829]

Hub,

Our absolute true desire is to purchase a single family home. What happens with our discharged home is a minor concern for us. Yes, ideally, we would love to keep it if the bank will modify the loan to a reasonable payment. Perhaps even a principle reduction (I'm not holding my breath, really). But should it all fall throuigh, we have no qualms with being done with the place altogether. As long as we're able to close on our usda loan for our single family. The rest is either collateral damage or gravy...depending on what the end of the story turns out to be for that discharged property.

As for talking too much, lol, yeah that's probably true. But the first thing both tenants asked when we told them we were moving was, "what's going to happen to this property here?".

[AngelinaCatHub]

Yes, I see what you say. I hope all goes well for you. In any case, after all is discharged and/or closed, believe me, your new life will be well. Your values will be changed for the good, and you will prosper. Your lifestyle will change that when you wish to have something, other than a necessity, you will save for it and not go into other peoples money. You will become your own boss and not servitude to others. Best wishes to you. 'Hub