I have a real estate issue who do I trust what should I do?
Friday, 21. May 2010
I bought a home for 169000 cash in full 12/2005.In 4/2007 I got a small equity loan on home for 55000 for a small Business I started.Economy so bad in 08 the Business failed and I’m behind in all bills and equity payments.I contacted a agent to list my home for sale before I get for closed and we went over info and I made a time to see him Monday.
Today I come home and find a piece of paper taped to my door saying my property will be for closed 4/26/09.Two hours later I get mail and 1 is from a lawyer explaining he can help me with filing chapter 13 and saving my home and utility shut offs and also do not contact a real estate agent or deal with any if contacted.The other letter was from a company real estate favors for closure specialist who says do not file chapter 13 or any type bankruptcy that they can help me stop a sheriff ale lower all my bills etc…How these people knew my home was about to be for closed I’m unsure and is weired I get their mail same day I get paper taped to my door.I truly do want to sell home and move but with a sheriff sale that paper said would happen quickly 4/29.I was told a real estate agent can not help stop for closure so I don’t know what to do.If I save the house we will stay jobless no family my son is mentally ill I’m disabled my boyfriend is illegal so he can’t get any type temp jobs.What would you do and you have deadline of loosing your home in 28 days?
burtlikko Says:
You’re in a tough spot and my heart goes out to you. It would be helpful if I knew what state you were in. But hopefully I can shed some light on your situation.
First of all, all of these people know about the default on the loan because the notice of default is a public document that has been filed with the county or the state recorder’s office, depending on how your state handles foreclosures.
If I were in your shoes, what I would do would depend on the existence of other debts. If there are no other debts or financial obligations of any significance, I would sell the house rather than lose it to foreclosure. The mortgage company will be paid out of the proceeds of the sale and the balance will go to you. That puts cash in your pocket, avoids the foreclosure, and lets you maybe start over again in a little while.
If there were a bunch of other debts, I would consult with a bankruptcy attorney. I would not contact the attorney who told you he could help you with the chapter 13. That guy is probably violating the ethical rules regulating lawyers, although it’s not clear what state you’re in so I can’t say for sure. Instead, I would contact the local bar association and ask for a referral to a law firm that does bankruptcy. It’s not clear whether you would need a chapter 7 or a chapter 13, and only an attorney who has all of the facts at his disposal can tell you for sure.
If I needed more time to get all of this done, I would try to get that time by calling up the bank that issued the foreclosure notice and asking what can be done to delay the foreclosure proceedings. Maybe they would rather take fractional payments for a short period of time, and get some money instead of none, and in exchange give you time to sell the property. It’s quite likely that they will work with you, because they would rather have dollars than dirt.
Good luck. Remember that people who put themselves in your face offering to help during your hour of desparation are very doing it for their own interests and benefitting you is not their highest priority. Instead, seek out a professional who is working just for you, one you know you can trust.
skeptical Says:
"The other letter was from a company real estate favors for closure specialist who says do not file chapter 13 or any type bankruptcy that they can help me stop a sheriff ale lower all my bills etc.."
Throw this one in the trash. You do NOT want their, uh, "help"!!!
A real estate agent can’t do anything but sell your home. Unless they can guarantee to do that before the sale, forget them. If they say they CAN, get it in writing, and don’t deal with anyone except a respected, major national real estate firm.
If you are jobless, there really isn’t much you can do. There is no free lunch.
Borrowing money against your house to start a business was a BIG mistake.
By the way, it’s foreclosed (one word), not "for closed".
Timothy E Says:
Get a lawyer quick. Legal aid or your state Bar Assoc can help