I recent purchased a home that was a foreclosure. Now before you say somebody did it I can too. Stop right there. This house started off as a foreclosure the owner agreed to sell. the first loan on the house agreed to sell the second loan did not! While other banks were taking a couple of thousand dollars to settle a second loan maybe 3-6 thousand. We offered the high amount to settle the second loan the BANK WAMU said no we want 12,000!!! Long story short we did not want to pay that much they would’nt budge. So the first loan Wells Fargo Foreclosed on the property we had been trying to get for 3 months! Wait it gets better. The house sells at auction to an investment company that quickly relists the house for 100k more than what they paid for it. We called their office to make an offer again long story short we used their in house agent to represent us as to ensure we get the best chance at getting the property (I’ll explain later) They take almost 3 weeks to accept our offer
Now because we choose to use their agent we have no one watch our backs as the agent who represents us works for the seller same office. Again they drew up a counter offer that would make only a greedy seller proud (All contingencies go away in 10 days,buyer will pay 5k over appraised value) Its was a nightmare but because we had quality people in our corner we didnt get burned by some of these statics in fact we added one (Buyer agrees to pay only appraised value) Here is where it got sticky seller agrees to that and signs the counter offer. But when the appraisial came up short they were not going to honor the signed offer sheet! The reason I know that is I was at the property taking measurements and an agent showed up at the door stating the fact they he talked to the seller and they were thinking about canceling the escrow can he look at the property! I called the agent and she said ooh they didnt realise that after they submitted more comps the appraisal came in with their number.
We did finally get the house but it was hard fought 6 months! moral of the story

Do your homework
Dont give up
Use their (sellers) agent greed usally works double comission
Find someone else to watch your back as far as Housing knowledge goes
And read everything you can about housing
GOOD LUCK

What is your question. I didn’t even read it and I am sure most people on here won’t
Buying a house is a major investment: if you are not familiar with the process it can be painful.
If you factor in the fact that it is a house in foreclosure, you a multiplying the pain many times.
If you would like advice or answers, please summarize and use paragraphs.

Would the courts attempt to stop him from renting out to new tenants? I happen to know my exlandlord is in foreclosure and is now attempting to re rent the house I was in, getting someone else for a large deposit only to have to move in the near future.
Sharon that is excellent advice!

Illegal? I don’t know your local law. Unethical? Certainly!

Anyone renting from him should at the very least insist the deposit be held by a neutral party so it can be refunded even if he isn’t the owner when the tenant moves out.

I do loss mitigation (loan workouts) for a living and I haven’t run into an issue doing what you ask for dozens of people in your position or worse, shoot me an e-mail with your address, balance you owe and the name of your lender or lenders.
With that info I can tell you if it’s do-able or not before you commit to sending me any "personal" information.
This is not one of those deals where you sign over the property to me or anything like that, do not sign over the rights to your home… EVER!.
I’m located in CA but I can help you out regardless of what state your in.

How bad would it be on my credit and life to just let the house foreclose. How long can I stay before the bank throws me out? I’m spending every dime I make trying to keep up with an a.r.m. I cant refi cuz the market is dead and my house in las vegas is worth less than what i paid for it new only 2 years ago! My credit is shot now cuz I’m spending so much on the house. It jumped from $2,200 to $3,500 overnight. I also have other expences to keep up with such as 2 small children, food. power bill, insurance etc. I’ve already given up my car and every other luxury I could think of. The house is beautiful inside and out however it seems the nieghborhood is turning GHETTO! I want out, badly. Nothing is working and I’m just getting further behind. Beleave me, I work everyday, no vacations, no life. How bad will it be if I just gave up? I’ve paid alot into this house and won’t get anything back but it’ll stop the hemoraging of money Option One Mortgage is taking. Please HELP!

We are in the SAME BOAT! House is worth LESS now than our last re-fi, which of course was a 2 year arm, and now in les than a year WE have to re-fi again, with CRAPPY credit! whew. Anyway, this what I have learned so far:
Your lender does NOT want to foreclose on you, it takes alot of time, money, manpower to foreclose - on their end. So, talk to your lender. They are just people - maybe even in the same situation as you - tell them your situation, and they will work with you someway. Ours just asked us if we could make the current late payment over 3 months - we of couse said yes, but I don’t know if we can.

the other option is the Short Sale thing. Contact a realtor, see if they will work on a flat fee - say 10,000 total for buying and selling agent. Say you want to do a Quick sale, or Short Sale. They will put it on the market, for a "cheap" price, sell it quick, and your lender is acutally the seller. They will have to OK the price. They should accept a lower price than what you owe, so they don’t have to go into foreclosure procedures.

I’ve heard we should avoid forclosure as much as possible. It basically guarantees you will not get another mortgage any time.

We are basically just staying in contact with our lender, and leaning on that short sale thing soon!!! Good luck my friend!!

in my home? I doubt I’ll get my deposits back anyway, as he has been lying to me about the foreclosure, and I can’t afford to move right now. So, how long would it take him to evict me if I just don’t pay?

Thank you!
In response to David S - I do not feel in any way like I’m kicking the man while he’s down. I have a lease that is good until March 31st, but he is forcing me to move now. I will have to pay to move because he didn’t use my payments to pay his mortgage. He is denying that the house is in foreclosure, but I’ve learned he’s lying from his bank. He has already refused to let me out of my lease and tells me that he will not refund my deposits so I can seek other residence. Since I have prepaid my last month and security deposit, I am hoping that I will break even in this mess that he has caused by staying on rent free for two months. I am the victim here! My landlord made a hundred thousand dollars riding the market, spent that on himself, and now that the market is dead, he filed for bankruptcy and unloaded his properties on the bank, which will just end up costing people like you and me more in the future. In the meantime, he lives in a paid for house and drives a porsche.

If he gave the property to the bank, HE can’t evict you, the BANK has to evict you. It also isn’t an overnight process so don’t think you will leave for work one day and come home to find the locks changed (unless you disregard prior notices left).

Your best bet is to contact the lender he gave the home back to and discuss the matter with them.

Oh and an eviction does NOT show up on your credit report unless they take you to small claims court for some reason.

We have been getting letters from "foreclosure savers" but they have been scams and they want us to pay 1300.00 for there service if we had that much we would have paid the mortgage. We can pay now but not all the back money.
We are looking for anyway to save my God Sons credit please any help is good, we are also willing to sell but don’t know how to go about it.
The property is in Rochester NY we live in Georgia thank you for your help I am going to follow up on every answer

you can not stop foreclosure. you went about buying an investment the wrong way. and this unfortunately is the outcome.
you need to talk to the bank and file the hard ship paperwork.

talk to acorn people, h.u.d. sponsors that non profit program. they can give you counseling.
only b of a and citi bank deal with acorn loans.
i would go with citi bank.
google acorn loan program they’re nonprofit across the u.s.

good luck

My friend purchased a home for her brother he stopped making payments, and now she is in the process of selling via short sale is this bad on her credit? He stopped making payment 6 months ago. All her credit cards are paid on time her auto loans are current she has no bad credit history except for the lates on the house! Is she doomed?????? Please help with your advice!!!!
Markmywords- this questio is for you what type of statement should she put on the reports?

Here’s the problem, when you go 120 days down on a mortgage, lenders consider this the same as a foreclosure, even if she does a short sale. If she is a cosigner on the mortgage, it’s on her credit as such. No way of getting around it and her credit is dinged bad.

However, if that is the only blemish and not consistent with the rest of her credit profile, this will be considered in some instances. But, since many credit decisions (credit cards in particular) are based on credit score, it will take 3-6 months for her score to start rising again. She may want to contact the three credit rating agencies, experian, transunion and equifax, to add a statement to her file.

Alright well I currently own 2 houses which is really hard to pay now so I tryed selling one but they wont let me so my only option is to stop paying rent and let the house go into foreclosure. Now Im worried that if I do that, would the bank take my second house too? I mean even though I pay rent would they try to take it away in order to pay for the loss of my first house? If now would they try taking any cars away cause I owe money in 1 and still doing payment and plan to cause I really like this car.
So if I stop paying my home mortgage will they take my second home away?

Foreclosure on one home will not affect the other mortgage, as long as you are current on your payments. If they foreclose and obtain a deficiency judgment, that’s the difference between what you owe and what the bank sells the property for, it attaches to anything you own.

realtor.sailor

We live in California and just moved into this house in February. We signed a lease for a year through a Property Managing Company. Our lease states the landlord is suppose to make all mortgage payments. After we moved in the landlord stop making his loan payments and now the house is being foreclosed. What rights do we have? How long do we have until a sherriff locks us out? Can we sue our landlord or the Property Managing Company for breaking our lease? Please help!!!!!

You will want to research this further, but in terms of somewhere for you to start; the contract you signed "lease" is actually considered "Real Property" and goes with the Real Estate and whomever has possession of that piece of Real Property (it gets sold with the home, if it’s not terminated by another document). I don’t know for sure, but I would guess that you would stay tenants to the new owner (wich will be the bank if the property gets foreclosed). I’m sure there are several loopholes (that are not in your favor) to evade something like that, but I’m not experienced enough with that issue to be able to advise you further.

Good Luck!

just discovered that my mother’s house is in foreclosure. Apparently a Notice of Default was filed last August but she did not tell me about it.

Now I have just Discovered that a notice of trustee’s sale was filed last week with a sale date of December 13.

Apparently my mother had been refinancing her house every year to get more money to live on.

They were charging her huge prepayment penalties and huge fees every time she refinanced.

She received very little money herself. The mortgage brokers made all of the money.

This last mortgage that my mother got had payments over twice as large as her income from social security and a small pension.

She has some equity left in the house. I need to stop the trustee’s sale and help her put her home on the market so that she can sell it and recover the little equity that she has left.

I also want to take legal action against the mortgage brokers for what they did to her and recover some of the equity that they stripped.
My mother and father bought this house new in 1957. My father passed away several years ago and left the house to my mother.

In the past 4 years these mortgage brokers have charged my mother over $200,000 in fees and prepayment penalties.

The interest rate they are charging my mother is almost 12%

There has been no change in my mother’s ability to pay. She is retired living on a small pension and social security for 20 years.

The monthly payments are over twice her income. The mortgage brokers knew this when they put her into the loan. They knew that she had no ability to repay this loan.

She kept refinancing to get the money to pay the mortgage payments since they were more than her income.

I do not have the money to make up the arrearages,

I want to stop the trustee’s sale long enough so that my mother can sell her house and recover what little equity she has left.

If what these mortgage brokers did to her is not illegal it should be.
What happened to our usury laws?

When I calculate the amount of fees and prepayment penalties against the paltry amount of cash my mother received, which was less than $50,000 total in all of the refinancings, the true interest rate and the cost of tthat paltry amount of money is obscene.

I am very sorry to hear about your mother.

Unfortunately our current laws are inadequate to deal with this problem. The mortage brokers know it and they have taken full advantage of that fact.

That will change in 2009.

I am currently working with a Democratic Candidate for Congress to unseat a worthless do nothing Republican.

We will win by a huge landslide. Democrats will take the Congress and Senate by huge margins and we will take the Presidency as well.

We will hold Congressional hearings on this problem in 2009 when we take over.

We will completely reshape the law regarding mortgage brokers and real estate brokers to a greater extent than even was done during the great depression of the 1930’s.

The corruption and incompetence in the real estate industry is a disgrace that has destroyed the lives of millions of families and has destroyed the integrity of our financial institutions.

The incompetence and the thievery of the real estate industry will be stopped.

Unfortunately that will be too late for your mother, and I am sorry.

However we will return this country to fairness for everyone, not just a few rich fat cats with more money than they know what to do with.