when can I get a mortgage?

[broke54]

Filed: 4/09, discharged 9/09 included condo in BK.
I'm still here! Went to see my attorney last week - Chase is again offering to settle.
Attorney says I should be eligible for financing now, since that debt was discharged - I haven't been responsible since 9/9.
I'd always heard until the bank forecloses, I'm still reponsible and cannot get a mortgage until years after the foreclosure.

Does anyone know? I'm in Ohio.

Filing bankruptcy certainly help to change my life but this condo hanging over me has got to stop.

I appreciate any advice.

Thanks.

[tobee43]

the FHA guidelines say one thing, the banks say another. it's difficult to distinguish what's what!

one says after the bk, the other after a foreclosure. hard one for me, since the state we own our property in has 20 years to transfer the deed and it's going on 5 years and they haven't starting to foreclose yet. we haven't tried for a mortgage yet, we went owner financing for this house bypassing the banks completely. however, these houses do not come a dime a dozen. we just lucked out.

we are hoping to buy something else within the next year or two, first we are paying this one off completely and try if we can to use it as collateral if we had to. you just have to try and find a broker to work with you and see if they know lenders that can help. it's hard road, but we have seen it here on the forum, it can be done!

best of luck!

[keepsmiling]

Chase is offering to settle? For property discharged in BK?

[tobee43]

Chase is offering to settle? For property discharged in BK?

i was a bit confused by that one myself? a possible loan mod for a pay and stay??? sign on the dotted line come into my clutches says chase!

[sofarsogood2]

Mods do not relight the debt candle, so to speak.

It modifies the original loan, which remains discharged.

Once a loan is discharged, it cannot be "un" discharged by a modification.

Only a brand new loan on the same property could do that.


"Settling" with a mod may mean the OP can remain in the property at a less costly payment and/or a lower balance due, if the OP wants to.

[keepsmiling]

Op's original posts may or may not shed some light on the situation.

http://www.bkforum.com/showthread.php?78777-foreclosure-timeline-can-anyone-explain-what-is-going-on&p=588532#post588532

[tobee43]

Mods do not relight the debt candle, so to speak.

It modifies the original loan, which remains discharged.

Once a loan is discharged, it cannot be "un" discharged by a modification.

Only a brand new loan on the same property could do that.


"Settling" with a mod may mean the OP can remain in the property at a less costly payment and/or a lower balance due, if the OP wants to.

chase can try anything. they can attempt to renegotiate if the OP hasn't stop paying and been staying. after all, lets not forget they are the BANK...LOL!! they can try anything they want. if they can get someone to resign a loan agreement it's a brand new one and not the one that has been discharged.

[keepsmiling]

hmmmm... I wonder if there might not be a violation here....????
wouldn't we love to get Chase on a few of those?
hey maybe enough to just pay cash for your new place.... fantasizing here, stay with me...

[tobee43]

hmmmm... I wonder if there might not be a violation here....????
wouldn't we love to get Chase on a few of those?
hey maybe enough to just pay cash for your new place.... fantasizing here, stay with me...

LOL!!! i'm right next too you!! and for a trip or two here and there???? sure sounds like a violation to me!

[sofarsogood2]

The bank is offering to "settle" if the OP wants to remain in the home. Just because a debt is discharged from the debtor, the property is still encumbered with the debt and the bank can foreclose and evict the OP. It sounds like the OPs attorney is suggesting he take out a new loan to pay off the "settlement" of the lein on the house to Chase. Or they are offering a mod. It isn't really clear from OP.

As someone who received a mod after discharge (attorney involved and reviewed), sometimes it can work out if you want to remain.

A discharged loan remains discharged if you receive a mod of the original loan.

Signing an entirely new loan, which is a different set of paperwork- much more paperwork, is an entirely different thing.

The BK discharge of debt remains in force for the life of the original loan- modified or not.

[sofarsogood2]

Also- FHA financing is 3 years after filing if including property- but most brokers don't understand that and will tell you no for a mortgage until 3 years post foreclosure date.

[broke54]

WILL SOMEBODY HELP ME. I just don't understand. Chase said they would release the lien for . . . . 1/3 of the original loan - cash. For a second, I considered getting another mortgage, putting a few grand in here and on the market. The attorney says NO. Will never recoup the money. It's a condo with association issues not even going into the 2 major water leaks from upstairs neighbors in 2010 and one year later in 2011 which my insurance had to cover. The attorney says that debt was discharged and there should be no reason I couldn't get financing. I talked to a loan officer today and she says that the property is still in my name and my time doesn't start until they foreclose. They would uncover that during underwriting. I asked the attorney about asked for a deed in lieu . . she said banks don't have to do that and they usually don't. I thot maybe a deed in lieu might be easier on my credit. Anyway, my attorney said we wanted to milk this for a couple of years but now that it's been 4 plus, it's definitely getting in the way. She suggested I aggressively pursue the bank "I'm leaving ____, I have maintained YOUR property, once I leave it will be subject to the elements, etc. All along I thot I would have to rent but the attorney said no, you can get financing. So, what do you guys think? It's too much for me to think about and it's been dragging on too long.

Yes, I'd be all for getting Chase on a couple of these.

AND, a friend of mine, who has been sort of with me during this process has decided to file BK herself. She has been less than 6 months of not paying her mortgage and BOA sent her a letter - she rec'd TODAY - offering deed in lieu and 3K moving costs.

What should I do?

[keepsmiling]

We are trying, broke, sorry... no one here has had any success in getting a bank to foreclose. Tobee's been waiting at least as long as you have. Where are you by the way?

We haven't heard much discussion here on a settlement to release the lien on a first.Maybe a new tactic? Usually it's the other way around... as in, cash for keys. Maybe one of our resident attorneys can chime in. It sounds... odd.

OP, you have managed to get thru four years of free rent. Congrats on that. Have you been saving up the cash? do you like where you live? Is it convenient to work? Are you thinking of buying elsewhere with less expensive ownership costs?

Perhaps you can continue to live there and save enough cash to buy outright or get privately financed.

[keepsmiling]

If this is a new tactic from the banks, it may be a very good idea for everyone. Bank looks good, owner gets what may be a bargain on a home, home stays intact, bank doesn't have to take care it.... everyone wins. Do they want a lump sum payment?

Can you tell us about the value of your place and what your balance is? Has anything sold there recently? anything else we should know? A lot of empty homes in the neighborhood?

[tobee43]

WILL SOMEBODY HELP ME. I just don't understand. Chase said they would release the lien for . . . . 1/3 of the original loan - cash. For a second, I considered getting another mortgage, putting a few grand in here and on the market. The attorney says NO. Will never recoup the money. It's a condo with association issues not even going into the 2 major water leaks from upstairs neighbors in 2010 and one year later in 2011 which my insurance had to cover. The attorney says that debt was discharged and there should be no reason I couldn't get financing. I talked to a loan officer today and she says that the property is still in my name and my time doesn't start until they foreclose. They would uncover that during underwriting. I asked the attorney about asked for a deed in lieu . . she said banks don't have to do that and they usually don't. I thot maybe a deed in lieu might be easier on my credit. Anyway, my attorney said we wanted to milk this for a couple of years but now that it's been 4 plus, it's definitely getting in the way. She suggested I aggressively pursue the bank "I'm leaving ____, I have maintained YOUR property, once I leave it will be subject to the elements, etc. All along I thot I would have to rent but the attorney said no, you can get financing. So, what do you guys think? It's too much for me to think about and it's been dragging on too long.

Yes, I'd be all for getting Chase on a couple of these.

AND, a friend of mine, who has been sort of with me during this process has decided to file BK herself. She has been less than 6 months of not paying her mortgage and BOA sent her a letter - she rec'd TODAY - offering deed in lieu and 3K moving costs.

What should I do?

broke, as keepsmiling has stated, i'm going on 5 years and chase will not move an inch. in as much as getting a DIL...never will happen. with another property we owned, i was able to do that, with this one that chase continues absolutely no movement except a recent atty collection letter...a bit late asking for the total amount of our mortgage plus interest and fees...and the entire mortgage was discharged a few years ago! (a violation of the bk code by the way).

both and either make any difference on your credit both are ugly. a bk is a bk and withstands longer than a foreclosure. once the mortgage was discharge and THEN after that if they foreclose it most likely will not show up on your credit report, but can on a title search, so be prepared, again it will not make or break your chances, that is more set by the economical times we are in. once lending starts loosening up again, believe me, these banks don't want all these homes, there is going to be a movement to get families back in them. (i want to believe).

after saving enough money to move, we just left, settled in a different state. now the thing is, in new jersey where that property sits, there is a statue of limitation for deed transfer of 20 years. so frankly, chase doesn't have to a thing, and either do i. will this hinder my chances of getting another mortgage? i think the bk will do the same thing as any foreclosure process, fact is banks are simply not lending, although, i do believe we will start seeing changes soon.

getting a mortgage is difficult for even those with good credit today. you do not have a foreclosure on your credit and i don't know what your report states but it should say if your mortgage/s where included IIB. (included in bankruptcy). also, i don't exactly why your atty is telling you all this. actually, chase shouldn't even be contacting you it is a violation of the bk code.

as hard as this is, you just need to move on, save your money as long as you can, try and do what we did...we purchased and did owner financing, which should or WILL be completely paid off within this years time. i would take your money and get a broker or two to work with you and try and start again. in the meantime stay and keep saving money for your new place. the more you have the more likely a lender will work with you.

also, really, we don't care about the deed being in our names..really all the fuss about it all. with a large enough down payment go through a builder or conventional financing. if it were me, i would tell chase to go fly a kite, tell your atty to send them a C & D letter and leave you alone...again, i don't know what state you are in although my from what you have disclosed i do think it must be a judicial state because of the longer time periods. i so understand your frustration, but you must try and move on and forward! save that money and buy something else without bank involvement! it can be done!