I have no idea what is going to happen!

[Confused33]

I was discharged from Chapter 7 back in 4/09 and my house had been leased to a family that intended to purchase. I am in Texas.

I suppose that I didn't fully understand that I could have saved myself a years worth of headaches and walked away back in 7/09. I was afraid of foreclosure.

My tenants move out 8/31 and the last payment has been made. I told them August would be free in lieu of their deposit so I'll have someone in there for the first 30 days of being past due. I am disputing the July payment at the bank in hopes to accelerate the past due period so that they will be in the house for most of the time between past due and foreclosure.

So what is going to happen? What can I do to expedite the process of foreclosure? Is there any way for me to come out monetarily on this thing? The house will be in move in ready condition. I just don't want to mess with selling it from 4 hours away at a price that may or may not pay all involved parties and leave me with nothing.

My lawyer advised me to cancel the insurance (flood + homeowners) as soon as the home is vacant. I'll be getting some money back there, but will the insurance company ask any questions? They don't need to know anything right? I could just say I went with another company I suppose. I know there is a risk in doing this but I am not afraid anymore.

[Pandora]

I was discharged from Chapter 7 back in 4/09 and my house had been leased to a family that intended to purchase. I am in Texas.

I suppose that I didn't fully understand that I could have saved myself a years worth of headaches and walked away back in 7/09. I was afraid of foreclosure.

My tenants move out 8/31 and the last payment has been made. I told them August would be free in lieu of their deposit so I'll have someone in there for the first 30 days of being past due. I am disputing the July payment at the bank in hopes to accelerate the past due period so that they will be in the house for most of the time between past due and foreclosure.

So what is going to happen? What can I do to expedite the process of foreclosure? Is there any way for me to come out monetarily on this thing? The house will be in move in ready condition. I just don't want to mess with selling it from 4 hours away at a price that may or may not pay all involved parties and leave me with nothing.

My lawyer advised me to cancel the insurance (flood + homeowners) as soon as the home is vacant. I'll be getting some money back there, but will the insurance company ask any questions? They don't need to know anything right? I could just say I went with another company I suppose. I know there is a risk in doing this but I am not afraid anymore.

Your lawyer advised you to cancel your homeowners ins? And what happens when someone gets hurt on your property? You will be personally liable for it. NEVER cancel your homeowners insurance......even if you vacate the property - you can bring it down to a "bare bones" policy but never cancel it.

[justbroke]

Please cover liability on your property! Especially if there are hazards (like a pool), but moreso for the general liability issues. You cannot expedite foreclosure! The bank isn't even required or mandated to foreclose. They can just sit there and let it rot if they want to.

If you want to speed up the change of ownership, however, you can pursue a short sale or deed-in-lieu. Did you reaffirmed the mortgage in the Chapter 7?

[ryan]

My lawyer advised me to cancel the insurance (flood + homeowners) as soon as the home is vacant. I'll be getting some money back there, but will the insurance company ask any questions? They don't need to know anything right? I could just say I went with another company I suppose. I know there is a risk in doing this but I am not afraid anymore.

Man, for the small amount a basic HO policy costs, that seems like dumb advice.

so, will your attorney pay for the damages if a fire breaks out once you are gone?

[BCA2009]

Man, for the small amount a basic HO policy costs, that seems like dumb advice.

so, will your attorney pay for the damages if a fire breaks out once you are gone?

Who cares if a fire breaks out as long as no one is hurt. I agree you should figure out some way to get some liability ins.

FYI, here in florida there is no such thing as "basic HO policy" if by basic you mean cheap. My policy is right at 4k, with a $2000 regualr deductible and 20K hurricane deductible.

This is on a basic ranch style house. No a Mcmansion.

[momtoroxy]

I would not voluntarily cancel the HO policy. However, I have heard from many people on this board that if your lender finds out you are no longer living there, they will cancel the policy. I actually called my insurance company to ask about this and sure enough, as soon as they know you've vacated the property, they cancel the policy. I know vacant insurance is very expensive. I have been looking into liability only policies and have had no luck...

[Confused33]

I understand about the insurance and the concern with canceling it.

My attorney said to cancel as soon as it is vacant and B of A told me to cancel because they would put their own policy on it.

There's not gonna be any cheap insurance on that house. I have a $7500 deductible, no contents, and the coverage is at $150K and I still paid $800+. Add to that the flood insurance and which is setup the same way and is another $800+.

I just paid both deductibles in May and I'd like to recoop as much of that money as I can. The liklihood of someone getting hurt and trying to sue in that neighborhood are slim. Everyone is old and the kids don't play outside.

[justbroke]

All the things regarding insurance and a covered loss is true. If you read the "force placed" insurance policy from BofA -- of any lender placed insurance -- it doesn't cover liability. It's the liability that is at issue.

You will need to weigh how much exposure you will have versus the probability of it happening. That's your risk factor.

[Confused33]

All the things regarding insurance and a covered loss is true. If you read the "force placed" insurance policy from BofA -- of any lender placed insurance -- it doesn't cover liability. It's the liability that is at issue.

You will need to weigh how much exposure you will have versus the probability of it happening. That's your risk factor.

Just like with car insurance if you don't carry and the lender places it. It protects the lender, not the owner. Common sense.

The odds of running into someone/something in a car are much higher than the odds of someone tripping in my/anyones yard.

[BCA2009]

Just like with car insurance if you don't carry and the lender places it. It protects the lender, not the owner. Common sense.

The odds of running into someone/something in a car are much higher than the odds of someone tripping in my/anyones yard.

Yep it's all about odds and risk. I'm not saying how much risk I'm willing to take, but how many people on here actually know somebody that was sued due to an accident at their home. I'm sure there are plenty, but I've never known anyone.

But I know dozens, (including my wife) that have been sued after car accident's. Just evaluate your risk tolerance and go from there.

That's even if you can find liability ins on the empty house.