Can the bank sue me after foreclosure?
Often, after a foreclosure auction, there will not be enough funds from the sale to pay the loan in full. In cases such as these, the bank may sue the borrower for the remaining balance (deficiency). Additionally, the bank will usually add interest, late penalties, and legal fees onto the balance. However, a Chapter… Read More »
Can I keep my home in bankruptcy?
Yes, homestead property (primary residence) is protected in both Chapter 13 and Chapter 7 bankruptcy. Therefore, you may not have to lose your home as a condition of bankruptcy. Additionally, you can apply for a mortgage modification or force the bank to give you 5 years to pay the past due amount with Chapter… Read More »
Can bankruptcy stop a foreclosure sale?
Yes, when a Chapter 7 or Chapter 13 case is filed an automatic stay is instantly put into effect. The automatic stay is a federal law that stops all forms of collection activity, including foreclosure auctions already scheduled to occur.
What Happens when COVID Mortgage Forbearance ends?
When forbearance ends, the bank may demand the full amount of missed payments be paid in full within 30 days. If missed payments are not paid in full and no other payment arrangements are made, the bank may file for foreclosure.
Is there COVID relief for mortgages?
The CARES ACT was passed by Congress earlier this year to help alleviate the financial hardship caused by COVID. Under the CARES ACT, government-backed mortgages may be eligible for a mortgage forbearance for up to 180 days.
Is payment due when COVID forbearance ends?
Yes, forbearance does not forgive or eliminate payments, it only delays them. Missed payments during the forbearance period will need to be addressed when the forbearance ends. When the forbearance ends, the bank may demand the full amount of missed payments be paid in full within 30 days.
When will I be eligible for a new mortgage after bankruptcy?
A borrower can become eligible for a mortgage with Fannie Mae after only two years have passed since a bankruptcy discharge. Moreover, if a debtor makes 12 consecutive Chapter 13 payments they may be given permission to increase their debt. The increase in debt may even include obtaining a new mortgage.
Can my HOA file foreclosure in Florida?
Yes, Florida law does allow HOA’s to file for foreclosure. In many ways, it is a lot easier and quicker for an HOA to foreclose on a home than a mortgage company. Therefore, if you are being threatened with foreclosure from the HOA you should contact an attorney right away.
Does the CARES ACT prevent foreclosure?
The CARES ACT prevents foreclosure of government-backed mortgages until December 31, 2020. If a foreclosure case was already filed, the CARES ACT will prevent the auction from occurring prior to December 31, 2020. However, this only applies to government-backed mortgages.
What is mortgage forbearance?
A forbearance is when your lender suspends payments for a limited amount of time. Forbearance does not forgive or eliminate payments, it only delays them. Any missed payments during the forbearance period will need to be addressed when the forbearance ends.
