Need Advice

[nioka]

bcohen,

I think I finally got the picture. It is hard for me to wrap my head around not paying.

I found a timeline breakdown on foreclosures in TN. It seems I have at least 4 months before the house can be sold at auction or transferred back to the bank. Then I still have the eviction period which seems to be undefined.

As you stated my top priority is to not pay anything and wait for the foreclosure. Once the house has been transferred I can file for bankruptcy.

I think I got caught up in that first attorney who was so eager to get started. Since I past the age of 60 it seems to that seniors are played by every Tom, Dick and Harry out there and that includes the supposed good guys. I think this lawyer was trying to stampede me with fear. He did say that the HOA was not dis-chargeable. Why didn't he tell me to wait until after foreclosure???

I would be screwed if not for you people here at BK. Thanks to all of you.

[nioka]

I came across this paragraph in the Bankruptcy Manual on this site. This seems to go against the advice of waiting for foreclosure before filing for BK.


"If you don’t file bankruptcy and your home is sold in foreclosure and the sale does not pay the
debt, you will be sued for any remaining amount (deficiency). A foreclosure is worse than filing
bankruptcy and surrendering it. In a foreclosure you owe the deficiency. Judgments can be on
your record permanently because every time they attempt to collect it will be on your credit
report for an additional 7 years. This can become an endless loop. But 10 years after you file
bankruptcy there isn’t a record of it on your credit report. If they keep trying to collect the
judgment your record may never go away and you will never get a mortgage at a reasonable
rate."

I am aware that my SS and small pension are exempt.

I asked this before sorry if I am repeating.

What would be wrong with stop paying the mortgage, HOA fees, CC, loans, ect., and filing for BK. Post BK discharge I could live at the house until it was foreclosed and I was evicted. However I would be responsible for the HOA fees during that period of occupancy. With the pre-BK HOA fees discharged why not simply pay the HOA fees as they come due post BK. I could be living in this house for months or possibly years before I were to be evicted with only paying $100 a month in HOA fees. Once the new owner takes assumes the property the HOA fees are their problem. This seems like a good strategy to me.