Advice needed were scared

[subking]

Hi everyone, I know its been awhile but I've been very sick in and out of hospital without much web access.

To get right to the point we live in Macomb County Michigan filed chapter 7 and were discharged Feburary 2009, we had all debts discharged including the first and second mortages. We never paid the second mortgage (got a few threating letters and then they stopped, never heard from them again), but we continuned pay to the first hoping to stay in our home, but for the last 7 months we have not been able to pay the first anymore and have not paid since. I've been very ill and had to file for Social Security as I'am unable to work (as you probably know that process can takes years before you get your benefits), my wife works but were unable to cover all our bills.

The first mortgage bank of america has keep sending us statements (thats fine) just showing amount owed and amount past due (7 months). This week we got a 14 day notice in the mail this is a notice of intent to file foreclousure on our home (I think it is, I'm not entirely sure and its very hard to read and understand), also were getting mail from all kinds of people, law firms, and companies saying they can help (I'am sure they all want funds to help us, which we don't have) and theres several ways inwhich these people say they can delay or stop the forclousure.

My questions are what is our best option now?

About how long do we have to stay?

We know we can't afford the $800/month mortgage, home insurance, and taxes , insurance, and taxes (taxes are unpaid for 2011) anymore and will have to move at some point but we would like to stay as long as possible to save as much as we can.

We are not willing to sign a new mortgage with the bank because its been discharged and we don't want the responsability of a new mortgage on this home anymore and the home is in pretty bad condition (we owe about $127,000) house may be able to get $60,000 or $70,000 I don't really know but nothing is selling in our area and theres alot of homes foreclosed on just sitting empty.

If anyone can give advise please do any help will do right now. Thank you all so much.

[subking]

Can anyone help please?
We just don't understand this 14 day notice thing and our BK Atty. says they can't help, they handled our BK and they say just move out since all was discharged.

Please someone help us understand this.
What happens after the 14 days. (we got a news paper clipping from some law firm saying upcoming foreclousure is posted in a legal newspaper)
Will our home go to auction now?
Or does the bank give us a certain amout of days to leave.

[NoMoreCards]

In Michigan, you have 6 months after sheriff auction for redemption. After the 6 months you must be out. Look up michigan foreclosure laws. You have a bit of time.

[subking]

Do properties always go to sheriff sale?

Theres 3 homes on my block alone (all were foreclosed on) that are empty. Doesn't the bank foreclose and kick you out then or is a sheriff sale necssary?

So if I'm understanding you if theres a sheriff sale and the home is sold to a bidder or if the bank just forecloses, we will have an additional 6 months to redeem or get out, is this right?

Also this 14 day notice, does this mean the forclousre starts after the 14 days if we dont come to a agreement with the bank (which we wont)?

Thank you very much for your response.

[NoMoreCards]

Please do yourself a favor and google michigan foreclosure laws. I am reponding on my phone and oam umable to type the details. You have 6 months after sheriff sale to move or redeem. The bank can not make you leave earlier.
The 14 day notice is just the bank threatening foreclosure. You have time.

[subking]

Thank you so much for your replies and yes I am searching Michigan foreclosure now.

[NoMoreCards]

Once a sheriff deed is issued, it must be recorded at the county courthouse within 20 days. You could then see the deed (assuming your county has them searchable via the internet). This document will give you the final date for redemption.

If you do not plan to redeem your home, I suggest staying and saving as long as you can. Knowing 6 months ahead of time when you need to be out will be helpful.
I wish you all the best. I am currently waiting on a sheriff sale in Livingston county, and it was originally scheduled for late November. So far, the sheriff sale has not happened. There are just so many foreclosures, they take a while. Just keep a eye on your county's website.

[NoMoreCards]

http://www.macombcountymi.gov/clerksoffice/RegisterOfDeedsIndex.htm

Here is the link to Macomb county's register of deeds office. From there you can find what you need.

[subking]

Thanks so much again for the helpful information, it puts us a ease alittle bit and you answered alot of my questions.

[tobee43]

some states are both Judaical and non-Judaical, however in the case of michignan they are both. judical means the lender must go via the court system so it takes longer...while if your lender decides to you the non-judical method of foreclosure, the process can go gather quickly.

michigan foreclosure laws are:


According to Michigan foreclosure laws, the state uses two forms of foreclosures, namely the judicial and the non-judicial procedures. Non judicial foreclosure is also referred to as foreclosure by advertisement. The duration of such foreclosure is around sixty-days.

Michigan State's Judicial Foreclosure

In Michigan the lender can foreclose the mortgage by filing the law suit in the Michigan circuit court. The court orders to sell the property six months after the primary filing of the proceedings. The circuit court commissioner is solely responsible for the sale of the foreclosure homes.

Michigan State's Non - Judicial Foreclosure

The foreclosed property can be sold under the commercial basis otherwise known as non-judicial foreclosure or through advertising. This situation occurs when the mortgage is not held by the Michigan state housing development authority. If the installments are not paid the mortgage act validates the foreclosure.

The notice of the sale of the foreclosure properties should be published in the local newspaper for four weeks, in the prescribed manner which is generally once a week for a few weeks and then fifteen before the sale. Apart from this the notice should be posted in the area where the sale of the foreclosure properties is going to be held.

The sale of the foreclosed homes is held in the courthouse where the claim is filed. The foreclosure auction is conducted by a sheriff or a deputy sheriff. The highest bidder acquires the foreclosed property. The sale can also be postponed from time to time by notification in the newspaper. The only condition is the auction should be adjourned that within 10 days from the date of the sale.

The proceedings for the sale of this foreclosure property are carried out by the officer or person conducting the sale. The title of the property goes to the highest bidder at the foreclosure sale. The last date for the sale should be specified so as the borrower can redeem the foreclosure home if possible. The legal documents should be officially recorded within 20 days after the sale.
Recovery of the foreclosed properties according to Michigan foreclosure laws

- The borrower can get back his three to four units of the abandoned foreclosed property, for a period of one year from the date of the foreclosure sale.
- And if the property is deserted, in case the balance is over two-thirds of the original mortgage then the recovery period is reduced to one month.
- If the balance is two-thirds or less of the original loan, you can make use of one year.
-If the foreclosed property is four units or less and is less than three acres in size, then two different redemptions time period is concerned.
-The rules vary for mortgages that began after 1965. If the amount that remains unpaid on the loan is more than two-thirds of the original debit, then the borrower is given six months to redeem.
- If the unpaid balance on a mortgage is less than two-thirds of the original debt, the borrower is given only three months to redeem the property if it has been abandoned.
- If the borrower fails to respond to the notices, then the sale of the foreclosure properties can be rejected after the personal assessment resulting in negative responses.

[adviceplease]

Hi I am in Macomb County Michigan and currently in my redemption period. You need to call the place on the link below ASAP to get some help. They will file an extension letter on your behalf before the 14 days is up in order to give you 90 extra days to try to negotiate with the lender, if you want out of the home then this still gives you more time. They will do this for free and will also have you come to a seminar in order to understand more what is happening and your options. If you can't go to the seminar have someone in your household go it is located by the jail in Clinton Township off of Groesbeck. After the 90 days your home will be put into a legal paper for 4 weeks and then go to sheriff sale, you then have 6 months to live rent free or try to redeem your home. The hardest part for us is trying to find a rental home that will take 2 dogs and has a 2 car garage but if you do not have those issues it is pretty easy to find one. Good luck!

http://www.macombcountymi.gov/msuextension/housing_information.htm

[subking]

Thanks for everyones advice. I'm gonna atempt to take some steps and make some calls, maybe I can get the 90 day extension as well mentioned above.

[subking]

adviceplease, I want to say thank you for the advice and the link. I have made the right call and had the extension letter sent on our behalf, I also will be attending the seminar and particapating in any help I recieve to help us with this process. I'm so glad I didn't call one of the attys, debt relief places, or realtors that have been sending us mail, some of them seem to want to help, but it really comes down to paying them a fee and who knows if they can do anything for us other then take our funds.

For the first time I feel like we have a chance with this and I'm sure were going to get the right advice according to our situation.

[adviceplease]

You are very welcome, I am glad that they are able to help you. The threat letter from our lenders lawyer actually came with their information so I called them and they were able to get us the extension to stay in the home longer. I wanted to save our home but the lender just did not want to work with us because we had PMI so they can have the house. I thought the seminar was very informative.

[subking]

Since both our 1st and 2nd were included in our chapter 7 if BOA does forclose does a forclousure show up on our credit report even though the debt was already discharged?