More details to this question:
For past 3 years I did try to modify my loan, every time Aurora Loan Services gave me forbearance agreement that I had to complete prior to loan modification. My original mortgage payments were $1,500 and I was paying even $2,700 on this plan. I completed 5 of those, but they never modify my loan (missing doc, etc, etc.). Finally in November 2010 I had to file Chapter 13, and I surrender my house. To tell the true I didn't quite understand what I'm doing, unfortunately English is my second language. I thought that I'm saving my house. Right now the past due amount is about $40K; I can't afford to pay my mortgage trough CH13, because the monthly payment will be about $2,800. I can only afford about $1,600. When we did purchase our home in 2006 we paid for it $360 K, right now is worth about $180. I did send couple letters to the bank saying that we would like to make monthly payments, also I sent papers for loan modification again, but no response at all. Couple days ago I did receive "notice of preliminary hearing to relief from the automatic stay". Attorney who helped me file Bankruptcy is saying, that is nothing I can do to object this motion, I even can not ask for more time. Is there anything I can do to try save my house? Can I object this motion? Another problem is that at this moment I can proof just half of the income that we have, and this will be not enough for loan modification. My husband is starting new job in July, but this could be to late to do anything. I just need more time. Please help me. Thank you in advance.
8 ANSWERS
Litigation Attorney serving Portland, OR
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Daniel G. Hoarfrost
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Ch 13 can be used to avoid foreclosure and cure arrearages, but ultimately the original mortgage must be paid.In your case, the house is worth less than half the mortgage debt and you can't afford the regular monthly payment, so Ch 13 would not be very useful for you.
Answered on Jun 07th, 2011 at 1:06 PM
Spencer Hale
It is possible to save a house in a chapter 13. However, to do so you must be able to make the mortgage and plan payments. Also, the plan must propose to pay off all the arrears. It is unfortunate that you did not qualify for modification. That was probably the best thing for you. You now are stuck having to pay the high plan payment to keep the house.
Answered on Jun 06th, 2011 at 3:01 PM
Bankruptcy Attorney serving Herndon, VA
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Maureen O'Malley
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First, when you're represented by counsel it's unethical for another to give advice. If you trust your attorney, then you should listen. You also say that you surrendered, which is to say you gave it up. In general, a house worth $180,000 will not catch up to its debt of $360 at any time soon, and you may be better to let it go and live somewhere for less.
Answered on Jun 06th, 2011 at 2:10 PM
You need to take the advice of your attorney. J
Answered on Jun 06th, 2011 at 2:00 PM
Family Law Attorney serving Bellevue, WA
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Dearbonn Law Offices PLLC
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A chapter 13 will not save your house. Your only advantage if you file a chapter 13 is the ability to pay your mortgage arrears through your chapter 13 plan. this will help you become current on your mortgage payments.
Answered on Jun 06th, 2011 at 10:12 AM
Bankruptcy Attorney serving Cleveland, OH
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Benson Law Firm
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In some jurisdictions, it is easier to work out something with the lender if you can get into mediation in the foreclosure case. If your bankruptcy lawyer does not do foreclosure defense, you should consult with someone who does.
Answered on Jun 06th, 2011 at 9:20 AM
Glen Edward Ashman
Since your attorney is familiar with your case and we're not, there's no way we can review a case file we did not see. You may not have any options, but any that you do have will be known to your lawyer.
Answered on Jun 03rd, 2011 at 11:53 AM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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In a chapter 13 you can pay arrears over a three to five year plan. However, the payments that become due after filing must be paid or else the lender can get permission to foreclose by filing a motion for relief from stay. The bankruptcy judge cannot modify your residential mortgage loan. Unless you can convince the judge to give you more time to catch up the "post-petition" payments relief from stay will be granted.
Answered on Jun 03rd, 2011 at 11:53 AM