QUESTION
Can we still sell our home before the sheriff's sale?
Asked on Oct 01st, 2014 on Bankruptcy - New York
More details to this question:
Hello! My husband and I were unable to make mortgage payments starting in February 2014. On March 31, we filed for Ch 7 bankruptcy and we did not reaffirm our mortgage. The bankruptcy was discharged on July 1, 2014. Our home is being foreclosed on and the sheriff's sale is this week. We just found out that the starting bid for the home is $110k less than what we owe on it, and $60k less than market rate. My understanding of our state law is that, during the 6 month redemption period, we can sell our home, pay off the sheriff sale amount, and keep the proceeds. With the bankruptcy being this year, does that still apply to us? Thank you for your advice!
5 ANSWERS
Your question is a bit complicated. I would strongly urge that you talk to a lawyer as soon as possible (yes, you may have to pay for the consultation). I don't know what state you are in, but each state has different laws governing foreclosures. But your question is complicated enough to warrant a lawyer looking at your specific situation. I don't want to hazard a guess without more information. Good luck.
Answered on Oct 06th, 2014 at 12:44 PM
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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Bankruptcy doesn't affect your right to redemption under state law. But it's very difficult to sell a house that is in a foreclosure, most buyers will shy away from it.
Answered on Oct 03rd, 2014 at 3:22 AM
You have 90 days to make up all back payments and costs after the NOD and the sale. If the sale goes for more than the debt you are entitled to claim the proceeds from the sales trustee. If your bank is not paid in full, you do not have to report the unpaid forgiveness of debt because you filed BK this year.
Answered on Oct 02nd, 2014 at 12:30 PM
Bankruptcy Attorney serving Walnut Creek, CA
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Alan E. Ramos Law Offices
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In California, you only have redemption rights if the sale is conducted under a judicial foreclosure (judgment after filing a law suit). Most likely, the foreclosure you are dealing with is a non-judicial foreclosure under which there are no redemption rights after sale.
Answered on Oct 02nd, 2014 at 9:52 AM
Yes the house is yours to do with what ever you please until the hammer falls.
Answered on Oct 02nd, 2014 at 9:15 AM