Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Due to no job for a year now, my home went to auction last month. Can I still try to short sell it and stay in it a little longer and possibly save some of my credit history down the road? MI has a six month redemption period. I owe $225k and it went for $139k at auction. Good times here in MI - not! Thanks.
Um, I think that you are saying that the place only sold for $139K, so you are going to get EVICTED six months from when it was auctioned, is that correct?
I do not know the technical details in MI, but my guess would be that who ever bought your place at auction is going to need to be compensated, and unless you can figure out a way to pay the LENDER the full amount of the judgment ($225K plus fees...) you are really in a bad situation.
Short sale is really only a way to get the lender off your back BEFORE the foreclosure.
You should be focused on finding a new place to live AND/OR trying to raise the cash to settle up with the lender.
Yes, that is correct - evicted in six mos. That is my question; can I legally short sell it after the auction? I have an appt with a real estate agent today to discuss. No job and I am flat broke so I cannot offer any cash settlement unless I can get something more then the auction amt and serve it to the bank on a platter. I didn't create this mess, I am just victimized by it. Thanks for the reply.
I doubt you will get anything close to the settlement amount if the auction only fetched $139K and you owe $225K.
Just to be clear, the lender expects that when a borrower agrees to make payments on a loan that will happen. If it does not happen the lender will seize the collateral after a rather lengthy and protracted process to give the borrow every opportunity to not lose their home.
I do not see victims nor antagonists, I see opportunities. I have attempted to purchase homes at foreclosure, and it is not easy. There are many risks to the those that bid on foreclosures and bring A LOT of CASH to the table.
The lenders would much prefer to receive the payments that the borrower has agreed to.
Yes it is possible to do a short sale during the redemption period.
Would've helped your credit a lot more to have gotten it done before the foreclosure sale though.
It's also unlikely you will be able to get more than that bid amount AND pay a realtor. The foreclosure bid amount is based on the current value determined by the lender's appraiser or real estate agent/VA/Freddie Mac/Fannie Mae (as applicable).
I am nearly certain short sale will NOT WORK. If the house has already been AUCTIONED for $139K the buyer would almost certainly need some compensation (as they just won't risk $139K for nothing...) and the LENDER still needs to be satisfied for the $225K judgement PLUS FEES.
Is their some "magic loophole" in MI law that allows home owners to redeem for less than the judgement???
Is their some "magic loophole" in MI law that allows home owners to redeem for less than the judgement???
The lender is going to have to market and sell that house now. It's not worth $225K anymore, everybody knows that. There is zero possibility of being made whole. They might still prefer a short sale in redemption over waiting for expiration to market the house because it stops the financial bleeding now. Obviously if they think they can do better selling the house themselves, tehy will reject any offers.
My home was foreclosed on in MI and I am in the redemption period. THe real estate agent found buyer but way under what I owe. My question is: If it already went to sale, I should only have to deal with the 1st right now as far as the sale of the house goes because they are the ones that bought it back at sale right? The second becomes a unsecured loan between us, and it shouldn't be a factor in this sale right?? Need some help please.... My agent doesnt know any of these answers !!
My home was foreclosed on in MI and I am in the redemption period. THe real estate agent found buyer but way under what I owe. My question is: If it already went to sale, I should only have to deal with the 1st right now as far as the sale of the house goes because they are the ones that bought it back at sale right? The second becomes a unsecured loan between us, and it shouldn't be a factor in this sale right?? Need some help please.... My agent doesnt know any of these answers !!
You should talk to a real estate attorney, try to get a free consult. The only other option you may have would be to file bankruptcy to get this off your back, first and second mortgages can be discharged since you aren't reaffirming. Much better option since the mortgage companies can still come after the difference eventually in what you owe and what it sold for is my understanding. There are programs out there for certain companies here is one web link, http://usgovinfo.about.com/b/2009/03...oes-online.htm One search online showed several.....
maybe check the federal sites to see if your company is one of the mortgage companies being ordered to offer more help to their home owners. You might find something on the government pages like HUD. Sorry for your troubles, you aren't alone many folks facing these issues these days.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
