tag:blogger.com,1999:blog-10772130.post8862388785608123709..comments2023-08-04T03:04:19.251-07:00Comments on Legal Tips & Commentary: Is a Short Sale Better Than Filing Bankruptcy?Carl Starretthttp://www.blogger.com/profile/06409648966714976610noreply@blogger.comBlogger15125tag:blogger.com,1999:blog-10772130.post-23567073879351279372012-05-23T21:48:48.953-07:002012-05-23T21:48:48.953-07:00I am single, on disability. I live off assets whic...I am single, on disability. I live off assets which were substantial to last a lifetime until 2008. I have enough money to last me 4 years. I have an annuity that does not kick in until 2019 and will double if I do not touch it until then. Meanwhile I would be short 7 years. I cannot afford to pay for the house I am in- too big and a drain on my assets. I do not have a job- I am on disability.<br />My house is for sale but it is on the lake, very expensive and I need to sell. But since I do not have a job and banks have tightened requirements, I do not have the money to buy another house if i do not get equity out of present home. But if I stay in house another year I will pay in mortgage adjustable interet payments what I would have deducted from my only assets.<br /><br />Target is to find apt or house affordable on disability and only $500-$1000 a year from assets.<br /><br />What is best. Home in area just sold for $400,000 less than it is worth. I am afraid if my home goes that route, I will com eout with nothing and eating away my assets to live here.<br /><br />Thought about walking away- forecloser, bankrupcty but I am 58 and on disability and cannot work.<br /><br />Life is cruel- the banks contributed to my problem but that is history and the bank is being investigated now too- JP Morgan.<br /><br />The original loan for an addition was with a bank (Home Bank) that went belly up. So I was cuaght in finishing disability addition with my equity line. And the loan is still an ARM because they changed the rules. I bought the home when I had no job but had assets stocks and bonds. I added an addition and when I wnet to close on that part to roll everything over to a jumbo loan, I did not qualify for the home I live in????? So I have an ARM and an equity line and paying through the nose on interest.<br />Laon is 6% and equity line is 2.7 but I cannot manage this with eceomny dwindling my assets.<br />Like I said. I have about 4 years of money left then a lag for 7 years before I can touch the annuity.<br /><br />In limbo and sinking but can see the problem but cannot get out of it in time I fear. <br /><br /><br /><br />Its a mess.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-16524700196808727402012-01-13T11:30:22.299-08:002012-01-13T11:30:22.299-08:00I'm involved in a short sale. Last October 21 ...I'm involved in a short sale. Last October 21 the seller filed for Chapter 7. One of his creditors, Amex has a lien on the house. BofA and Equator have approved our counteroffer and just gave a closing date of March 15. The realtor says that the lien will be removed by the trustee before the bankruptcy goes through. I see no evidence of this. In addition, if no protest is filed by next Friday the 20th the clerk of the US Court said the bankruptcy would go through in 5 business days from then. What happens to the short sale if he is already bankrupt before we close?Markhttps://www.blogger.com/profile/15222366707246731960noreply@blogger.comtag:blogger.com,1999:blog-10772130.post-66837734066961385422011-06-03T14:54:08.636-07:002011-06-03T14:54:08.636-07:00In 2000, I did a short on my home. I filed bankrup...In 2000, I did a short on my home. I filed bankruptcy prior to the sale so that the 2nd position loan would not come after me. The short sale was as disastrous on my credit as a foreclosure. Just sayin' if I had to do it all over again I would walk away from the house. <br /><br />In my current home I am upside down. I've had it on the market for 6 mos and no bites. I've applied several times to the Making Homes Affordable Program but it has been impossible to qualify for one reason or another. America's Servicing Co. (aka Wells Fargo) is like dealing with a huge snake---only a snake is smarter and has more compassion.<br /><br />I've lost everything else but I keep making the payments and have never missed one. My health is suffering (diabetes and leukemia) and I'm 62 years old and single. I'm working just to pay Wells Fargo and when it eventually kills me, I guess you good people out there will stop judging me and calling me a scum bucket for wanting to file to do a stragetic defaulty and file bankruptcy.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-33034389126906509592011-04-20T12:48:07.012-07:002011-04-20T12:48:07.012-07:00Short sale is better for you can rebuild and buy a...Short sale is better for you can rebuild and buy again in a shorter time. If you file bankruptcy, short sale is still better. Its not about if i am in the hole already, because you are. its about how deep you want to be in the hole and how much harder will it be to get out?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-27509128986537392232010-10-10T18:28:05.424-07:002010-10-10T18:28:05.424-07:00As recently as 8 months ago I was able to conduct ...As recently as 8 months ago I was able to conduct a short sale on my home in Kissimmee, FL. The only way Fifth Third Bank agreed on the price was if I agreed to repay them 40K over the next 30 yrs which I agreed due to desperation. Doesn't the bank have some type of insurance so that they don't loose out? Is there any way I can free myself from this debt?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-74126649648637320612010-08-13T02:15:21.604-07:002010-08-13T02:15:21.604-07:00I would contact a local bankruptcy attorney consid...I would contact a local bankruptcy attorney consider reporting your agent for a possible ethics violation. I always believe in following in ethics for any type business to succeed.Michelhttp://ethicalbusinessbureau.com/noreply@blogger.comtag:blogger.com,1999:blog-10772130.post-45341530359824219652010-03-20T15:33:11.011-07:002010-03-20T15:33:11.011-07:00I have a situation where I was considering a short...I have a situation where I was considering a short sale, with me being about 165K upside down on my house. I also have about 35K in credit card debt due to me being unemployed all last year. The BK attorney i met with for a free consult tells me, that since I just started working, they would take my income for the past 6 months, to determine my payback period, allowing me to do mine in 36 months versus 60. My question is, since my second is a heloc, and she wants to strip away the lean, is it better to do a 13 over a 7? She leans more toward a 13, as she said the second will go away. The only concern is as my income increases, so do the payments on a 13 as they are evaluated each year?? thanksAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-6693619068212939572010-02-16T19:04:35.129-08:002010-02-16T19:04:35.129-08:00I am currently considering short-selling my home, ...I am currently considering short-selling my home, but I am afraid that even after the short-sell, the lender/bank will continue to pursue me for the difference. Is that possible? How long does it take generally to obtain the lender's decision on whether to accept a short-sell? I do not want to file for bankruptcy considering that I do not have any other overdue outstanding debt, it's just the house that is seriously weighing me down, otherwise, I have extremely good credit standing. In this context, would short-sell or bankruptcy be a better option for me?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-72321600589968466742009-09-10T07:46:12.725-07:002009-09-10T07:46:12.725-07:00Thank you!! I have been searching for answers reg...Thank you!! I have been searching for answers regarding short sale vs. bankruptcy.<br /><br />I searched other sites that explained the options, but not whether either one was a better option.<br /><br />I am behind on my mortgage and have many other bills due because I've been trying to catch up, which seems impossible. I'll be filing for Chapter 7 today, more knowledgeable about the decision I made. Thanks.<br /><br />yg in AZAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-59355459357057882009-06-30T18:06:22.374-07:002009-06-30T18:06:22.374-07:00It sounds like the real estate agent is blowing sm...It sounds like the real estate agent is blowing smoke. I would contact a local bankruptcy attorney about your options and consider reporting your agent for a possible ethics violations.Carl Starretthttps://www.blogger.com/profile/06409648966714976610noreply@blogger.comtag:blogger.com,1999:blog-10772130.post-56462743522177880552009-06-30T16:30:27.205-07:002009-06-30T16:30:27.205-07:00I am selling my home through short sale but i have...I am selling my home through short sale but i have decided that a bk 7 is better for me to eliminate all debt at once... my real estate agent refuses to cancel the listing and is threatning to file a lawsuit for breach of contract, etc... she has a possible buyer that wants to open escrow. They have no idea I am filing a Bk7, can I do this and then stop all the harrasing calls???Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-22155714269700522842009-04-29T18:22:00.000-07:002009-04-29T18:22:00.000-07:00It's quite interesting to understand the different...It's quite interesting to understand the different options or alternatives available to those in a foreclosure/short sale situation.Susanhttp://housinglotonline.comnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-13485412202538049852009-02-05T04:04:00.000-08:002009-02-05T04:04:00.000-08:00Emmer: I generally prefer to have a bankruptcy on...Emmer: I generally prefer to have a bankruptcy on file before a foreclosure to minimize any potential tax consequences. A short sale won't take care of your other debt problems.<BR/><BR/>Anonymous: A bankrutpcy will temporarily halt the short sale due to the automatic stay. It is hard to predict what the ultimate outcome would be in terms of the sale going through or not.Carl Starretthttps://www.blogger.com/profile/06409648966714976610noreply@blogger.comtag:blogger.com,1999:blog-10772130.post-56286282466206362972009-02-04T20:41:00.000-08:002009-02-04T20:41:00.000-08:00i am going thru a divorce and my wife & i are ...i am going thru a divorce and my wife & i are both on the mortgage which hasnt been paid since may 08 its now feb 09 part of settlement was to sell the hse in a short sale.there is a perspective buyer but i want to know if i sign the contract with the buyers to present to the bank can i then file chap.7 while thats in process?Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-10772130.post-34231999762480497662008-09-25T08:48:00.000-07:002008-09-25T08:48:00.000-07:00Due to a recent business failing I am forced to de...Due to a recent business failing I am forced to declare a chapter 7 bk. As such, I am also considering walking away from my home or conducting a short sale. My thinking is I'm already going bankrupt and my credit will be ruined for years, why not take care of all my problems at once? Will the add'l foreclose/shortsale on my record cause me add'l credit problems in the future or am I "already wet, so I might as well jump in"?? <BR/><BR/>Interested in your comments. Thanks!Emmerhttps://www.blogger.com/profile/03993007894010548698noreply@blogger.com