New here & a question about Ch. 7 and Foreclosure (not reaffirmed?)

[momof4girls]

Usually, they'll do a Notice of Default around the 90 day late mark (3rd late payment). It could be much longer, too. It depends on your lender. Absolute minimum should be 90 days from your 1st missed month payment. From there, could be 1+ years, especially if your state has a redemption period and judicial vs non-judicial mortgage loan.

This is even if the mortgage was included in the BK? It would be nice to save up 3 months of mortgage payments!

this IS good news...but just check the petition anyway...are you drafting what you have in red from your discharge??? if so and your mortgage is listed and you didn't reaffirm, one would think you are in the clear!

OK, I checked. After all the schedules, there is no statement of intention or anything like that. Just something that says it was discharged on so and so date. It seems like a very "cut and dry" BK. Nothing out of the ordinary. The above that I have drafted in red, is what I copied from a letter (and email in my notification box at BOA) that BOA sent to me at some point.

[CCsAreEvil]

This is even if the mortgage was included in the BK? It would be nice to save up 3 months of mortgage payments!

Yup... assuming you have made the final decision to let the house go, IMO best advice is to stay as long as possible to build up those reserves. When would you ever have this type of opportunity again... ever? Take full advantage of saving at this time... not only saving up for a new place for 1st month + deposit, etc.. but saving for that emergency fund/etc.

Of course, it will take discipline to make sure you save! Don't think you have all this cash to buy a bunch of "stuff". Good luck!

[momof4girls]

Yup... assuming you have made the final decision to let the house go, IMO best advice is to stay as long as possible to build up those reserves. When would you ever have this type of opportunity again... ever? Take full advantage of saving at this time... not only saving up for a new place for 1st month + deposit, etc.. but saving for that emergency fund/etc.

Of course, it will take discipline to make sure you save! Don't think you have all this cash to buy a bunch of "stuff". Good luck!

So true!! We have made the final decision. We WOULD have made the final decision this summer when we were struggling to keep electricity on and food on the table, had we known at that time it was included in the BK. I'll admit I didn't really read through the BK paperwork.

Now we will wait until the end of the school year, and make the move that we have been wanting to make for the last seven years.

Thank you to everyone for all the help!! Great forum!

[tobee43]

This is even if the mortgage was included in the BK? It would be nice to save up 3 months of mortgage payments!



OK, I checked. After all the schedules, there is no statement of intention or anything like that. Just something that says it was discharged on so and so date. It seems like a very "cut and dry" BK. Nothing out of the ordinary. The above that I have drafted in red, is what I copied from a letter (and email in my notification box at BOA) that BOA sent to me at some point.

CCsAreEvil is correct....it will depend on whether you are a judicial or non-judicial state with the respect to how long it you have to stay.....in a judicial state you can go in front of the judge and beg a few more months claiming you have no place to go....while in a non-judicial as a wise gugu once stated it's all based on civil code...how quickly they are going about their process is anyone's foreclosure.

if BOA was your mortgage company and they sent you that letter...i really think you are ok then...they will just start the foreclosure process and depending on what type of state mo is...it could take a little as 90 days or as long as a year or two.

[momof4girls]

CCsAreEvil is correct....it will depend on whether you are a judicial or non-judicial state with the respect to how long it you have to stay.....in a judicial state you can go in front of the judge and beg a few more months claiming you have no place to go....while in a non-judicial as a wise gugu once stated it's all based on civil code...how quickly they are going about their process is anyone's foreclosure.

if BOA was your mortgage company and they sent you that letter...i really think you are ok then...they will just start the foreclosure process and depending on what type of state mo is...it could take a little as 90 days or as long as a year or two.

We are a non-judicial state, so I'm going to just think of it as having three months to save up, and then we will leave. I assume I continue to pay my home insurance until the house has sold to someone else?

[tobee43]

We are a non-judicial state, so I'm going to just think of it as having three months to save up, and then we will leave. I assume I continue to pay my home insurance until the house has sold to someone else?

if your living there and you have not vacated sure i would keep up the homeowners. it's once you leave you don't have to...even if the bank doesn't sell it....they pay it and all costs and fees associated with the foreclosure are put into a form of liens and passed along to the new owners in one way or another.

[Floridagail]

We are on our 4th missed mortgage payment BOA, just late notices so far. So you well may have over a year save , do not be in rush to move. Several of our neighbors have been in 24 mos without paying. One house I have been following is going on 29mos still no forclosure. This whole sub is going into forclosure I think. I am in florida. Of course you will have to disconnect your ringer on your phone ,BOA calls 10 times a day. Save your money. Good luck

[researchnerd]

Please check the foreclosure laws in your state. Some places offer up to 12 months of protective waiting periods and redemption time to homeowners, others (like my state) have almost nothing.

Because you did not reaffirm your mortgage, you probably have less than the usual 90 days of not paying before they start foreclosure proceedings. They know you are off the hook and will be on the lookout for evidence of walking away. I'd think it would be safe to estimate whatever your state requires, plus maybe 30 days. In Missouri, that looks like about 90 days total -- BUT, if the lender ends up as the owner at your foreclosure, you could have another year.