foreclosure question

[rikimaroo]

I received a letter from a person that said they looked up court records and noticed that my house is pending foreclosure and I can be served anyday. I looked up the case number and I see this on 10/18/2011 there is a case opened on me from DEUTSCHE BANK, states there the trustee.

I did my bankruptcy and discharged my debts including mortgages through chapter 7 back in 2009. I am a little confused as I thought Bank of America was the people in charge of the Loan.

Anyways to make a long store short, the debt was discharged and I see that it is no longer on my credit report, but shows as discharged via chapter 7.

Other then foreclosure do I have anything to worry about, because I don't recall including DEUTSCHE BANK on my bankruptcy paperwork.

This is very confusing.

Thanks for any input.

Rikimaroo

[justbroke]

With the way home loans are created, sold, re-sold and then bundled into "securities", it's no wonder people are confused. Almost always, you are dealing with someone known as the "servicer". There are many servicers, like American Home Mortgage Servicing Inc (AMSI), Home Loan Services (HLS), or Bank of American or Countrywide Loan Services. They are the people who manage your account and keep track of payments.

On the other side, are the "owners" of your debt. This is why you'll see a Trustee who is holding the "bundled" assets in a trust. So you'll see the owner as something like Deutsche Bank as Trustee for Ameriquest Mortgage Securities, Asset-Backed Securities Series AMS-1 2008... or something like that. They are known as the "owner" and "holder" of the note. Yes a little confusing, but that's the way it works these days!

Nothing to worry about. I suppose that you already moved out?

[rikimaroo]

Thank you so much for replying, I a relieved that I am not liable for the debt, it is still very confusing sometimes. I have not moved out because I have not been served yet. From what it seems my case just opened up, because I received a letter from a non-attorney offering me services and this is how I was alerted to the fact that a case was opened. I am not sure when I will get served, but I am awaiting this until, because I am still paying my HOA and still responsible for the house as I have not been foreclosed on yet.

[justbroke]

May I ask how long you plan to stay? There are attorneys that will "lengthen" the process so that the foreclosure could be delayed another 6-12 months easily. The general cost in Florida is $1,000-$1,500. What they really do is make sure the plaintiff, lender, absolutely proves that they have the authority to foreclose. While that causes a delay, you get to stay a little longer.

[rikimaroo]

I plan on staying until they tell me I have to leave, or I have a certain amount of time to leave, since I have not been served yet, I am still waiting and will live here until I am served. Then I will start looking at alternatives, like a house and such. I don't know how I will get a loan for a new home, I might have to see what my parents qualify for, but thats about it.

So I have nothing to worry about regarding the discharged mortgage?

[justbroke]

So I have nothing to worry about regarding the discharged mortgage?

As far as the mortgage, no. Since you haven't been paying, you will need to wait at least 2-3 years after the foreclosure is completed in order to get conventional lending.

[cory1848]

Once you get the Lis Pendens, you have 20 calendar days to reply. This goes by rather quickly. If you want to stay for any length of time to save up money, hire a lawyer to fight it. $1500 has bought me 19 months and counting after I received my LP notice. I am still in the house and it looks like I will have another 3-4 months easily. All said and done, I will be 2.5-3 years no payments. Make it work for you.

[rikimaroo]

I just received my Lis Pendens. So if I get a Lawyer I can probably stay for a while longer. What if I don't respond to it, or do I have to respond?

[rikimaroo]

Do you guys have any recommendations of lawyers in West Palm Beach FL? What I am seeing is paperwork coming in from lawyers but they are charging a up front fee and then a monthy fee. Weird?

[justbroke]

I just received my Lis Pendens. So if I get a Lawyer I can probably stay for a while longer. What if I don't respond to it, or do I have to respond?

If you don't respond, expect that you have 3-6 months... if the lender's attorney is on the ball. If you respond, that should cause a delay of at least 6-12 months so you'd be 9-18 months (or more) of additional time.

I don't have any recommendations since I have never used one of those services. The ones that I did look at charged between $1,000 and $1,500 but are not from that area. I might try to avoid the monthly "fee" ones since those fees could accumulate. Make sure you really understand what you're getting for the money you're paying. I hope that someone else can help you.

[rikimaroo]

Can I stop paying my HOA now that I was served with the Lis Pendens, or I still have to pay that until the foreclosure is completed and transfer of title has been shifted?

Also, if I just want to not pay an attorney and just not answer the Lis Pendens, will the bank let us know when we have to move out? We just don't want to be stuck without notice and it worries my wife.

Will we get 30 or 60 days notice to move out?

Thanks,
Rikimaroo

[justbroke]

HOAs dues with the exception of up to 1% of 12 months worth of HOA dues prior to foreclosure. It's a tough call on paying since you are technically liable, but so too is the lender liable.

[rikimaroo]

Also, if I just want to not pay an attorney and just not answer the Lis Pendens, will the bank let us know when we have to move out? We just don't want to be stuck without notice and it worries my wife.

Will we get 30 or 60 days notice to move out?

[justbroke]

Also, if I just want to not pay an attorney and just not answer the Lis Pendens, will the bank let us know when we have to move out? We just don't want to be stuck without notice and it worries my wife.

I don't know the specific for Florida. Typically, you'd be served the final summary judgment (FSJ) granting foreclosure. Then, it's up to scheduling the sale. The sale could be postponed one or more times! I'd make sure that I started to go by the FSJ granting foreclosure since evictions in Florida could be quite quick. In any event, there is still time between not responding and through FSJ and sale. That's at least 60 days I think.

So, the notice would be... move now, or else. This will be a Notice to Quit/Vacate and give you 3 days for unlawful detainer. After that, they can file for eviction. Please know this... YOU DO NOT WANT AN EVICTION ON YOUR CREDIT! No one will rent to you for at least 7 years with an eviction. Most larger management companies won't even talk to you.

I might suggest that you ask for cash for keys immediately after the MFJ. This could give you some walking money and you and the bank could work out a time period to vacate the premises. No guarantees on how much extra time you'd get.

[rikimaroo]

How will I know who to contact once the FSJ is completed? Will I get ample time and paperwork from the Bank to let me know what the next step is. I defeintly want to avoid Eviction. I honestly want to just be done with this and have less stress on my chest regarding this entire chapter of my life. By the way thank you for all your replies, you have been extremely helpful.

Rikimaroo