Can someone help me?

[spy]

I will try to make this as short as possible. My chapter 7 was discharged in May of 2011. I live in Maryland. My attorney told me rightfully so, that I needed to keep paying the condo fees on the condo I gave up until the bank took over the property. I vacated the property 2 weeks after my discharge. I continued paying the condo fee of $323 every month. And again I was slowly going broke again.

Part of the reason for filing ch.7 was I could not afford the mortgage and condo fee. I would stop by the condo periodically to make sure there was no damage (i.e burglary, broken pipes, etc.) Then, in the fall of 2013 my lender Citimortgage changed the locks on the property. But still no foreclosure sale.

My car which had 197,000 miles, finally died. I had to get a new (used) vehicle. It is as basic a car as you can get, the only extra is heat. But, because of my bankruptcy, the interest rate is very high. So now, I had a $262 car payment I did not have before. Something had to give, and it was the condo fee. Now I have been sued by the condo association. With interest and legal fees, its about $4200.

Citi is still no closer to taking over the property now then they were 3 years ago. The person I spoke to told me it could be another 3 or 4 years. How is this fair? I filed for bankruptcy because it was a last resort when I could not afford to live their anymore. Now, I am in worse shape then I was 3 years ago before the Chapter 7. I have just taken another part time job, so I have two part time jobs plus my fulltime job. I dont know how I will come up with the money to pay the lawsuit. Is there anyway I could work out a payment plan with the law firm representing the condo association? If so, what do you think would be a reasonable plan. I am at my wits end. If anyone can give me any advice I would appreciate it.

[justbroke]

Have you tried asking the association to foreclose on the past due payments? Short of some outside threat of CitiMortgage losing the property, I don't think Citi is going to move. Many people that own property in a condo or homeowner's association (especially in the warmer climates) are finding that the banks just don't want to own a condo or home in an HOA because the bank doesn't want to pay the maintenance!

As I am suggesting, ask the association if they could proceed with foreclosure. The association would serve the bank and the bank is highly likely to then step in and pay the back dues or allow the property to foreclose. You could also go to Citi and ask if they'll take a deed-in-lieu of foreclosure, or you could attempt a short sale. It is up to you, at this point, to get things moving.

In either event, there is no guarantee that any of the suggestions will work. I think the best option would be to talk the association into foreclosing!

[Drazil65]

Hi, we pushed our condo association (in another state) to foreclose. I called the attorney for the condo association that was trying to collect the fees owed as we had stopped paying on purpose to hopefully force a foreclosure. The first time they proceeded the bank stopped the foreclosure by stating that they were in the middle of a modification with us (about 4 weeks from the sale date). We were clearly not modifying as we had surrendered and lived in another state, property was vacant.

We called the attorney for the association and once again asked that they proceed with foreclosure, they did. Another 6 months of paperwork through the courts (judicial state) and this time the sale went through. The bank showed up to bid but I had also researched in the area and found a 3rd party investor that had bought a few other properties in the area and contacted him with the sale date. The investor showed up and bid against the bank and won. The bank actually got back some of their money and we got our foreclosure finally.

It took a lot of time and research on my part as well as patience as it was a total of 2.5 years since our first missed payment on the home. The bank had no motivation to foreclose and no interest in a deed in lieu. We tried it all and it was finally the condo association that came through. Good Luck!

[spy]

Thank you for the responses. What if the condo assoc. has no interest? I guess at that point I just have to resign to the fact I will be broke for life? it just doesnt seem right that I do the right thing and file for bankruptcy, but it solved nothing.

[LadyInTheRed]

Have you considered renting the condo or moving back in? I realize the bank changed the locks, but I am pretty sure they have to let you regain possession if you want to. You could just have a locksmith change the locks, then inform the bank that you are occupying the property (whether you or a tenant actually occupy it).

[spy]

LadyInTheRed thank you for your response. Citi told me that I can no longer live in the condo unless I try to do a loan modification which at this point is impossible for various reasons. Maybe I should contact a lawyer which I cant afford right now.

[LadyInTheRed]

I would be very surprised if that were true. You own the house until they foreclose. People stay in their homes while in default on their mortage all the time. You might try running that question past your BK attorney.

[jacko]

You should have waited until the bank took your condo off your hands before you filed.

Thank you for the responses. What if the condo assoc. has no interest? I guess at that point I just have to resign to the fact I will be broke for life? it just doesnt seem right that I do the right thing and file for bankruptcy, but it solved nothing.

[Drazil65]

Tell the bank that until your name is off the deed you are moving back in or renting it out or THEY can take over paying the condo fees. You have to play tough with them, don't forget this is a country that has been bullied by banks for a very long time and let them tell us all what to do and when. They are not used to people standing up to them, your name is clearly in title so use that. If they push tell them you would be happy to do a deed in lieu so your name is no longer an issue or to proceed to foreclosure. They cannot have it both ways and be that thorn in their side until you get what you want. Get a locksmith to change the locks deed in hand.

When we did a short sale on our primary home here there were a couple of things that needed to be fixed on the inspection. The bank pushed us to fix them, told us we had no choice or the deal would fall through. We laughed (literally in their faces) and said no, go ahead and foreclose, the 2 loan officers looked at each other, just stared. We left them just standing there and they fixed the issues for closing. Until people start pushing back with the banks they will continue to bully the population. Things are different now and a lot of us realize that you can live life just fine on cash and banks are not your friends when things go bad. Good Luck!