Wat about not paying property taxes, condo maintenance fees?

Guest

Hi,
I am now 1 month late on paying my mortgage/property tax bill. I am being sent a packet to fill out from Wells Fargo Mortgage to see if they will grant me a deed in lieu of foreclosure. I have my Honolulu condo on the market with no offers for 11 months then off the market for 6 months and now back on again for the last month at a short sale price. Property is unsaleable due to huge increase in maintenance fees and lease rent (leasehold property). I have had no income for the last 8 months and can not continue to pay the mortgage.

My questions are: should I stop paying the monthly lease rent to the Lessor($400) and the monthly condo maintenance fees to the association ($400) and the property tax as I will be either doing a DLF or a foreclosure? Or will I be liable for unpaid amounts at the end? If I don't pay these now, will those be separate items on my credit report that bring my score down even lower than the DLF and foreclosure? How does this work?

Thanks for any help.

Niicss · Posted: Wed Dec 17, 2008 3:01 am Post subject:

Hi Aloha

As far as I know, you will have to pay the monthly lease rent and the condo maintenance fees. If you do not pay them, you will be liable for the unpaid amount. As far as property taxes are concerned, if you have an escrow account, then the property taxes will be paid from that account. However, if you don't have an escrow account, then you will have to clear the taxes. If you do not pay the lease rent, condo fees or the property taxes, it can get reported to the credit bureaus and will have a negative impact on your credit report.

Thanks.

Guest

I called Wells Fargo and they said as long as the loan exists they pay the property taxes even if the escrow balance isn't enough. When they pay the February payment, my escrow account will be $90 short. If they give me a DLF will I have to come up with the difference and will that show up on my credit report? How about if I have to do a foreclosure instead and that takes 8 months as they are predicting?

In HI we have something called a limited priority lien for condo associations of up to $1800 so they can collect the missed monthly condo fees. Will I still get dinged on my credit report for these unpaid condo fees as being late and unpaid?

Thanks

Niicss · Posted: Thu Dec 18, 2008 3:19 am Post subject:

Hi Aloha

You have mentioned that :

Guest

I'm with wells fargo as well.
Taxes for my property are due february 2000.00.dlls
I told county tax person I would pay 1000.00 in mid february and balance
mid march.
Will Wells Fargo take any action on this...do I need to call them ??

Niicss · Posted: Tue Jan 27, 2009 1:34 am Post subject:

Hi Billy,

I guess, you do not have an escrow account with your lender. As you will late on your tax payments, I would suggest you to inform your lender about this.

Thanks.

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