What to do? 3 years ago I filed a Chapter 7. Caught the 1st back up, ($118K), but let the second for $30K slide with reassurances from atty and mortgage broker that they have never seen a 2nd foreclose. Lucky me, I hit the foreclosure lottery! 2nd has transferred 4 times, present lender has refused offer of $10k today, wants $40k, (includes int & late pymt chgs). Home would sell quickly for $180K. Can I get 2nd to accept less than 40? How? How much should my next offer be? What to do…?
[[[…What to do…?]]]]
Pay the man.
That mortgage should have been included in your bankruptcy.
You’ve got equity. Sell, pay everybody off, and then buy yourself a new house to live in.
I think we spoke on the phone. As I want the answer to this question to be posted for everyone as others may look for the answer to this same question. Let me just say that the second foreclosing is not as unlikely as winning the lottery. It is important to understand that if you default on a note, there are terms, and as those terms have been broken there are consequences that are governed by your state law. The value the your lender is willing to accept would be considering what you in total vs. the value of the property. The more upside down you are the more that they are willing to write down/write off of the original amount borrowed. If your home has appreciated as you may not get them to writing anything off. The best that can be done is making an offer and seeing what they will accept. If they continue to be dificult chances are they may try to drag their heels on the whole deal.
As a side note you may want to speak to your bankruptcy attorney to find out if the debt on the property has been discharged or if you still owe it as you may have reaffirmed your note with your lender.
Best of luck.