Don't They Have a Time Limit?

[Annika]

My husband and I had to file bankruptcy (Chapter 7) in December due to an emergency medical situation that resulted in three hospital stays, lots of tests and procedures, and ultimately, major surgery. We did have some credit card debt, but not excessive (in fact, we'd never even been late paying a single bill, ever). With the added medical bills, there was just NO WAY to make ends meet. So we filed bankruptcy.

The debts were discharged in March, but the trustee had some concerns about the value of our house, since we've lived here for 13 years. It still hasn't been decided whether we can keep it.

He wanted to have an appraisal done, and sent out a real estate guy to determine its fair market value. Our house needs a LOT of work, and the real estate guy took photos of the things that need repair. The chimney is literally falling apart, the whole house needs new carpet/flooring, the roof leaks in several places, and we have no heat or air conditioning. And that's just the major stuff.

Even with the repairs, according to the realtor, the house's value is still more than we're allowed on the exemptions ... about $12,000 more, which is a lot to me, but in the real estate world, that's probably just a drop in the bucket.

Someone mentioned to me that unless the difference is considerable, it's not really worth it for the trustee to sell the house, by the time the realtor gets his cut, etc. If that's true, I'd say we're right on the "line" as far as keeping the house. I also found out that if the house IS sold, the real estate guy that came out to do the fair market value is the same guy that will be selling it, if that's what it comes down to. How biased is that?!?

We've been waiting months for a decision to be made, but haven't heard a peep from anyone. It's very stressful not knowing if we're going to have a roof over our heads!

Is there some kind of time limit in which they have to make the decision? It's been almost a year since we filed!

Thanks!

[davidb81]

I doubt you would have been discharged if the trustee had plans of contesting your house. Having said that the trustee does have one year to re open the case I believe. But Im Bettin the trustee is really busy right now. And I cant imagine why they wouldn't have filed an objection to your bk before the discharge date if they had a problem with the equity in your house. Keep us posted and Good Luck!

[Minnymouth]

Annika,

The "house issue" you have is still considered an open case with the Trustee until he makes a decision on it........
The rest of your BK has evidently been discharged.....You did get a discharge notice, right???

You said the house issue has been up in the air for almost a year......not unusual.............MY HOUSE ISSUE has been up in the air for 15 months now.......everything else is settled, over with and discharged.

I too am sitting waiting for the trustee to make his decision..........

My home also had extensive damage from storm.......

Trustee has to decide if value minus damages is worth the trouble for him to take it and sell it or abandon it back to me (or sell it back to me) at a low market value, just to get something out of the equity in it......

So this is unusual - it does happen.....

So be patient, hopefully you will need more repairs than what the trustee can get selling it.....and it won't be worthwhile for him to pursue.....

My trustee was going to send someone out too - NEVER DID.......he just went by fair market value minus damages.....to access value of it.....

I'm still waiting also - but very hopefully he won't sell it.......too much trouble for him....

Minny

[Minnymouth]

I know the feeling well of "what's happening to the roof over my head".................15 months of waiting has taken it's toll....

Minny

[Annika]

I doubt you would have been discharged if the trustee had plans of contesting your house. Having said that the trustee does have one year to re open the case I believe. But Im Bettin the trustee is really busy right now. And I cant imagine why they wouldn't have filed an objection to your bk before the discharge date if they had a problem with the equity in your house. Keep us posted and Good Luck!

I hope that's the case. The real estate guy's visit was back in late April or early May. Seems like they would've said something by now, if there was a problem.

You did get a discharge notice, right???

Yep, I've got it right here in front of me.

You said the house issue has been up in the air for almost a year......not unusual.............MY HOUSE ISSUE has been up in the air for 15 months now.......everything else is settled, over with and discharged.

I too am sitting waiting for the trustee to make his decision..........

My home also had extensive damage from storm.......

Sorry to hear that. It seems like there should be a deadline or something!

Our A/C and heat actually went out AFTER the real estate guy came by, but I'm not sure if it's worth mentioning. Maybe I need to "lay low" and hope our case falls through the cracks somehow (yeah, right).

I'll be annoyed if I've been making house payments all this time, only to lose the house anyway. That would've been money I could put towards an apartment or rental house. ... sigh ...

[Minnymouth]

I haven't made a house payment in 15 months and still living there.....will be buying my home back from the Trustee at a reasonable price as soon as he "makes his decision"......
15 months and still waiting.....................

Minny

[davidb81]

wow! thats not fair that they drag their feet with you guys like that. that's terrible. I hope everything works out great for both of you.

[sunshine08]

So can we assume Minny that you still have to pay the taxes and insurance? But I hope that it enables you to be able to save money to help with the (re?) purchase of your home. Is he trying to decide on whether or not to sell it back to you, auction it, or what?
Except for the "unknown" at least you don't have a house payment for awhile.
Hope all goes well and is over soon.
I can't imagine why it would take him this long to "think" it over. (hope he hasn't forgotten about you)

[Minnymouth]

330 days since discharge and still counting......... waiting on Trustee....
Yep, I still have to pay the insurance/property taxes...and don't even own it now...
Agreement to buy land back from bank (just not signed) and still waiting on Trustee to tell us YES on the house too.... He just hasn't decided on a price yet.....

I have first option to buy back!!!!

He sure hasn't gotten in any hurry..........about settling all this.....

AND YES - no housepayment has really helped my pocketbook........... will almost have it paid off if I keep going.....

But after 15 months from the day I filed... I'm sure getting TIRED.....of WAITING.....

Minny

[Minnymouth]

Trustee cannot "forget" about case being open -- Judge has already called for a status hearing wanting to know why it hasn't been closed.... Trustee notified judge we were "in negotiations"..... that was 3 months ago....

Minny

[Annika]

Okay, I just looked up our case number on that PACER website, and it looks like we're okay. Can somebody confirm what I'm reading?

12/20/2004 1 Voluntary Petition all schedules and statements. ( Filing Fee $ 209.00 Receipt # (omitted) (tdr) (Entered: 12/22/2004)
12/20/2004 2 Statement of Intent. (tdr) (Entered: 12/22/2004)
12/20/2004 3 Disclosure of Compensation By Attorney For Debtor In the Amount of $ 1200.00. (tdr) (Entered: 12/22/2004)
12/20/2004 Sec. 341 Meeting of Creditors schd For 8:30 1/28/05 At Basement Room 18 Last Day to Oppose Discharge: 3/29/05 Last Day to Object to Dischargeability: 3/29/05 (tdr) (Entered: 12/22/2004)
12/24/2004 4 Courts BNC Certificate of Service Re: [0-0] First Meeting . # of Notices: 26 were sent out. (Auto-Docket) (Entered: 12/24/2004)
01/28/2005 Sec. 341 Meeting Held and Examination of Debtor . (aer) (Entered: 01/31/2005)
01/31/2005 5 Notice Of Intent by Trustee (name omitted) To Abandon All Property EXCEPT: (my address omitted). (aer) (Entered: 02/01/2005)
02/10/2005 6 Reaffirmation Agreement Between Debtor And (omitted) Bank. (aer) (Entered: 02/10/2005)
03/31/2005 7 Order Discharging Debtor (me), Debtor (my husband). (aer) (Entered: 03/31/2005)
04/02/2005 8 Courts BNC Certificate of Service Re: [7-1] Discharge Order by (my husband, me). # of Notices: 25 were sent out. (Auto-Docket) (Entered: 04/03/2005)
05/23/2005 341 MEETING HELD and TRUSTEE'S REPORT OF NO DISTRIBUTION: Trustee of this estate reports that the trustee has neither received any property nor paid any money on account of this estate except exempt property; the trustee has made diligent inquiry into the financial affairs of the debtor(s) and the location of property belonging to the estate; and there is no property available for distribution from the estate over and above that exempted by law. Further, pursuant to the provisions of the Bankruptcy Code, the Trustee hereby abandons all property of the estate set forth on Schedules A and B as burdensome or of inconsequential value to the estate. 11 U.S.C. 554. Pursuant to FRBP 5009, trustee certifies that the estate of the debtor(s)has been fully administered. Trustee requests that this report be approved and that he/she be discharged from any further duties as Trustee. Filed by Trustee (name omitted) Objections due by 6/22/2005. (name omitted) (Entered: 05/23/2005)
06/23/2005 9 Transfer of Claim. To (omitted) Mortgage Company Filed by Creditor (omitted) LOAN SERVICES LLC . (aer, ) (Entered: 06/23/2005) (Note: My mortgage company was sold or the company changed names or something. Our house payment actually dropped a bit.)
07/05/2005 BANKRUPTCY CASE CLOSED AND FINAL DECREE. The estate of the debtor has been fully administered. IT IS ORDERED that the trustee is discharged as trustee of the estate of the above-named debtor and the bond is cancelled. The case of the above-named debtor is closed. (tdr, ) (Entered: 07/05/2005)

So are we okay??? Can we keep the house? And if so, they've known since freakin' MAY and nobody bothered to tell us!!! I'm thrilled and livid at the same time!

Am I reading it right??

[REGOR]

YOU ARE READING IT RIGHT!!!! YOU ARE OFF!!

Okay, I just looked up our case number on that PACER website, and it looks like we're okay. Can somebody confirm what I'm reading?

12/20/2004 1 Voluntary Petition all schedules and statements. ( Filing Fee $ 209.00 Receipt # (omitted) (tdr) (Entered: 12/22/2004)
12/20/2004 2 Statement of Intent. (tdr) (Entered: 12/22/2004)
12/20/2004 3 Disclosure of Compensation By Attorney For Debtor In the Amount of $ 1200.00. (tdr) (Entered: 12/22/2004)
12/20/2004 Sec. 341 Meeting of Creditors schd For 8:30 1/28/05 At Basement Room 18 Last Day to Oppose Discharge: 3/29/05 Last Day to Object to Dischargeability: 3/29/05 (tdr) (Entered: 12/22/2004)
12/24/2004 4 Courts BNC Certificate of Service Re: [0-0] First Meeting . # of Notices: 26 were sent out. (Auto-Docket) (Entered: 12/24/2004)
01/28/2005 Sec. 341 Meeting Held and Examination of Debtor . (aer) (Entered: 01/31/2005)
01/31/2005 5 Notice Of Intent by Trustee (name omitted) To Abandon All Property EXCEPT: (my address omitted). (aer) (Entered: 02/01/2005)
02/10/2005 6 Reaffirmation Agreement Between Debtor And (omitted) Bank. (aer) (Entered: 02/10/2005)
03/31/2005 7 Order Discharging Debtor (me), Debtor (my husband). (aer) (Entered: 03/31/2005)
04/02/2005 8 Courts BNC Certificate of Service Re: [7-1] Discharge Order by (my husband, me). # of Notices: 25 were sent out. (Auto-Docket) (Entered: 04/03/2005)
05/23/2005 341 MEETING HELD and TRUSTEE'S REPORT OF NO DISTRIBUTION: Trustee of this estate reports that the trustee has neither received any property nor paid any money on account of this estate except exempt property; the trustee has made diligent inquiry into the financial affairs of the debtor(s) and the location of property belonging to the estate; and there is no property available for distribution from the estate over and above that exempted by law. Further, pursuant to the provisions of the Bankruptcy Code, the Trustee hereby abandons all property of the estate set forth on Schedules A and B as burdensome or of inconsequential value to the estate. 11 U.S.C. 554. Pursuant to FRBP 5009, trustee certifies that the estate of the debtor(s)has been fully administered. Trustee requests that this report be approved and that he/she be discharged from any further duties as Trustee. Filed by Trustee (name omitted) Objections due by 6/22/2005. (name omitted) (Entered: 05/23/2005)
06/23/2005 9 Transfer of Claim. To (omitted) Mortgage Company Filed by Creditor (omitted) LOAN SERVICES LLC . (aer, ) (Entered: 06/23/2005) (Note: My mortgage company was sold or the company changed names or something. Our house payment actually dropped a bit.)
07/05/2005 BANKRUPTCY CASE CLOSED AND FINAL DECREE. The estate of the debtor has been fully administered. IT IS ORDERED that the trustee is discharged as trustee of the estate of the above-named debtor and the bond is cancelled. The case of the above-named debtor is closed. (tdr, ) (Entered: 07/05/2005)

So are we okay??? Can we keep the house? And if so, they've known since freakin' MAY and nobody bothered to tell us!!! I'm thrilled and livid at the same time!

Am I reading it right??

[Annika]

Thank the Lord!!! I can't believe nobody even bothered to tell us. Good thing I happened across this forum, and learned about PACER, because that's how I found out!