BANKRUPTCY...CAN I GET THE HOUSE OUT!

Foreclosures, Short Sales, Tax Foreclosures
1

Hello,

I have a 2 short sales that are bye the same homeowner.
Both houses are currently in bankruptcy.

The homeowner just recieved a letter form one mortgage company saying they are going to file a “release of stay”.

From my understanding they just want it out of bankruptcy so they can foreclose, right.

How do I go about getting thie house out of bankruptcy to start the short sale process?

Will the banks at least start the process while it is in bankruptcy?

Can the homeowner gets it released if so EXACTLY how?

Bankruptcy can scare alot of people does anyone have any pointers on dealing with bankruptcy?

Thanks in advance!!!

2

Howdy Certified FMM:

When the bank files for a release of stay the owner and any interested party have the right to file an answer and to have a hearing set for the motion to be heard and any objections. This is a good time to enter the picture and get an offer approved by the homeowner and the bank. If all parties are in agreement and the trustee approves as well as no other objections have come up, then the bank or trustee or owners attorney will file an agreed order to sell you the property provided enough time has passed and all parties have been notified. BK court is short and sweet. I have seen hearings that both parties said would take hours be given 15 minutes of the judges time and sometimes settled out in the halls before the time even comes.

3

Thanks Tedjr,

I called the banks and they said they cant do anything while it is in BK.

I have to do a short sale in order to make money on hte deals.

Do you know of a way where I can at least start the short sale process while it is in BK.

I once heard that sometimes they will let you start the process but, wont accept the offer until it out.

How do I get it out of BK?

4

Hi Certified,
There are programs out there that deal with bankruptcy foreclsoures. I’ve listend to audios of Greg D. And he seems pretty knowledgeable. There may be other programs out there but his is the only I know of that deals specifcially with bankruptcies.
newbie florida investor.
steve

5

As Ted was trying to state I have heard you have to get permission from the BK attorney(TRUSTEE) for the owners to sell the house(s)
I am in the same boat trying to learn how to go about doing the same thing. That is all I know for now. hope it helps point you in the right direction.

6

Howdy Mtgman:

Actually the judge has to issue an order to sell the property. It does help to have the Trustee agree with the order and even work it out ahead of time as an agreed order where most of the time the judge will rubber stamp the deal. If the trustee objects to the sale or any other creditors or other interested parties then a hearing will be held. Pretty much app parties have to agree for the deal to get done.

As far as who starts the process, it could be the trustee or thru the Realtor that the trustee may hire or the owners and their attorney or yourself if you have an agreement to buy the property and the owner is doing the bankruptcy withou an attorney.