I still don't understand something

[demismom]

Okay, we filed and have had our 341. In between the two, our Mortgage company requested the Stay be lifted and were granted it. We are surrendering the house and haven't lived there in over 2 years, so no big deal to us.

My questions are this:

1 - Will I owe any deficiencies?
a. If the house sells BEFORE the bankruptcy is discharged and closed?
b. If the house sells AFTER the bankruptcy is discharged and closed?

2 - Will I still owe the back property taxes?
a. Same as above
b. Same as above

Thanx!

[lrprn]

1 - Will I owe any deficiencies?
a. If the house sells BEFORE the bankruptcy is discharged and closed?
b. If the house sells AFTER the bankruptcy is discharged and closed?

As long as you did not sign a reaffirmation agreement (and you didn't) then NO in both circumstances.

2 - Will I still owe the back property taxes?
a. Same as above
b. Same as above

It looks like you will not owe the deliquent taxes. Although they are a lien on the property and therefore not discharged with the bankruptcy, they will be paid through the sale of the property by the home's purchaser. See http://www.taxcollect.com/Content.as...ndID=0&Lang=en - first question and answer - and http://www.franklincountyohio.gov/tr...ankruptcy.html - last two sentences under #1. Do check with your lawyer to be sure this is the case in your state.

[SinkingFast]

Generally speaking, delinquent property taxes become the headache of the person who buys the house at the Foreclosure Sale.

Delinquent taxes, past due HOA dues, repairs, etc, all become the responsibility of whoever buys the house. The buyer has to make good on the arrears in order to get a clear Title/Deed to the property.

As always, definitely a question to discuss with your attny. Make sure you know the rules for your area.

[demismom]

Thanx - My attorney has told us no too, but I keep hearing that "taxes" are not discharable and I wanted to make sure that didn't pertain to PROPERTY tax and only INCOME tax.