Posted on: 03rd Jan, 2009 12:16 pm
i have tried to do a short sale for 9 months. i have a first and second mortgage. my house is worth 83,000. i owe 120,000. we moved out last may. i cleaned it up did painting and kept the house nice in hopes to sell it and feel less bad about this whole situation. it has not sold and does not look like it will. i am 1,900.00 behind in my tax escrow account since we have not made a house payment since may. the city said i have to pay half now and half on next years property taxes. i dont have the 1st half now and will not have a property next year so how will they collect it? can property taxes be forgivin on a chapter 13? i have been asking the mortgage company to please just take the house (deed in lieu) but they said i cannot do that since i have a first and sec. mortage. i asked them to just start the forclosue and please just get it over with. i feel so bad about the house just sitting there empty. its a nice neighborhood and we were there 15 years before my husband lost his job. do you know how long it could take for the forclosure process? will they put a deficiency judgment against me? and if they do will a chapter 13 wipe it out? also i was told that mr. bush sighed a bill stating that homeownes who are in this situation will not be taxed on the capital gain ( the amount the house sells for vrs the amount we owe, is this true? and if its not can the amount owed for that taxed amount be wiped out in a chapter 13. i live in wisconsin. i am so stressed out about this and cannot afford legal help. thank you for any advice you can give me.
sherri
sherri
Hi sherriafton!
Welcome to forums!
I guess both the mortgages are with the different lenders. That is why the lender is not ready to go for a deed in lieu foreclosure. In case of a deed in lieu, you will still be responsible for the second mortgage though the first mortgage lender will forgive your deficient amount resulting from the sale. As far as the property taxes are concerned, I don't think they will be wiped out if you file a Chapter 13. In case of foreclosure, you will have to pay the deficient amount to the lender. Chapter 13 does not wipe out the dues. Rather in Chapter 13, the lender will give you a new payment plan so that you are able to pay off the dues within 3-5 years.
You can speak to the lender and check if the lender is ready to offer you a short sale. However, you should remember that if the lender agrees for it, then you will have to pay the deficient amount to the first lender and you will also be responsible for the second loan.
Feel free to ask if you have further queries.
Sussane
Welcome to forums!
I guess both the mortgages are with the different lenders. That is why the lender is not ready to go for a deed in lieu foreclosure. In case of a deed in lieu, you will still be responsible for the second mortgage though the first mortgage lender will forgive your deficient amount resulting from the sale. As far as the property taxes are concerned, I don't think they will be wiped out if you file a Chapter 13. In case of foreclosure, you will have to pay the deficient amount to the lender. Chapter 13 does not wipe out the dues. Rather in Chapter 13, the lender will give you a new payment plan so that you are able to pay off the dues within 3-5 years.
You can speak to the lender and check if the lender is ready to offer you a short sale. However, you should remember that if the lender agrees for it, then you will have to pay the deficient amount to the first lender and you will also be responsible for the second loan.
Feel free to ask if you have further queries.
Sussane
My Dad lives in Northern Wisconsin, the rest of the family is in southern Wisconsin. He is in bad health and needs to move home closer to his family so we can care for him. The problem..... He owns a trailer that he cannot sell. He has a pension and collects SS. If he walks away from the trailer and lets the bank take it Can they come after him for any reason????
I thought that this was a quick answer...
I found out myself by searching elsewhere.
Thanks anyway..
I found out myself by searching elsewhere.
Thanks anyway..
Hubby wants to just let the second mortgage go an file a chapter 7 since we are a head on fist mortgage and we owe them more money.. Can a 2nd mortgage forclose on us?