what can I do to delay the foreclosure - Posted by tarun_md

Posted by GIO on December 17, 2000 at 02:25:31:

can you please tellme where you read about this idea,
i like it.

what can I do to delay the foreclosure - Posted by tarun_md

Posted by tarun_md on December 13, 2000 at 22:19:10:

have an appointment with a lady on friday who will sign the deed to me subject to.
House worth 115k. she owes 94k with an 8.5%loan. back payments plus attorneys fees are 4500.
My exit is to market it as an owner financed deal or maybe a lease option and use the downpayment from the buyer to pay off the back payment and then some.
The problem is that they are foreclosing on the 3rd of Jan.
What could I do to buy more time? I do not want to make up ANY payment until I get the house sold.
Fortunately, I have another property that I am trying to market as a lease purchase in the same area…So I have a decent buyers list that I can call on to sell the other property fast.
Any suggestions

Re: what can I do to delay the foreclosure - Posted by dewCO

Posted by dewCO on December 15, 2000 at 19:48:55:

Does the seller/owner have the lenders permission to bring the loan current and then allow the loan to be reinstated and payments to continue? Because if they don’t, it may not matter for you. Sounds like that is what you want to do. But a lender can accept he amount in arrears and still not allow the loan to be reinstated!!! So you might need other financing if you were planning to hold and it sounds like that’s what you want to do.

Re: what can I do to delay the foreclosure - Posted by Robert(AL)

Posted by Robert(AL) on December 14, 2000 at 22:51:14:


The problem is in bringing the loan current before Jan. 3rd right. If you have a good buyers list already from marketing another property, why not tie up the prop. with a purchase contract to buy “subject to”. Then market the prop. to your buyers list and get enough down from the buyer to satisfy the amount to bring the loan current before the deadline. Once your get the money, close the deal “subject to” with a land trust.


Re: what can I do to delay the foreclosure - Posted by Dan(MO)

Posted by Dan(MO) on December 14, 2000 at 19:14:44:

Bnakrupcy will indeed stop the foreclosure process, but rather than messing up the sellers credit, why not form a corporation - a separate legal entity from both your seller and you - and then deed the title of the property into that new corporation. You dont need permission from the lender to do this.
Then bankrupt the corporation. It wont show up in the sellers credit report as the corporation is a separate legal entity. This may give you the time you need to tie up your loose ends. It costs some to both form the corporation and then to bankrupt it. Not a fortune, but check with the proper authorities about how much exactly.
WARNING: I am not an expert in this area at all, just passing along an idea that I have read about. I do know that fooling around with lenders and such can be a risky proposition.
If all else fails check the paperwork that goes along with the foreclosure and make sure the attorney or individual doing the foreclosure has followed the proper procedures involving the timelines and other requirements. If there is a screw-up, then you can point this out to the title company that granted a title policy to the foreclosing party called a trustees sale guarantee, and then they wont be able to grant clear title to whoever gets the property at the foreclosure sale until the sale and the procedures has been done properly.
Joe Kaiser is the man to get more info about this from, as well as Bronchick. Fooling around with lenders and their foreclosing procedures is nothing to take lightly.
Good Luck,

Re: what can I do to delay the foreclosure - Posted by Rob MacFarland

Posted by Rob MacFarland on December 14, 2000 at 15:35:47:

William Bronchick talks about delaying foreclosures in his “nuts & bolts…” course but I think it better for him to explain how if anyone at CREonline can have him answer this ???

Owner files for bankruptcy… - Posted by howard-nyc

Posted by howard-nyc on December 14, 2000 at 14:03:06:

and the sale will be “stayed”.

The owner files for bankruptcy and this will stop the sale. It will also damage the credit of the owner. This is extreme solution.

In NY it is effective right up to minute before the court officer start the auction. It is the first thing they ask, “Before we start(in a brilliant New York accent), is there anyone here with a bankruptcy petition or application.”

One of my investor’s assists the home owner to do this regularly.


Re: what can I do to delay the foreclosure - Posted by Ron

Posted by Ron on December 13, 2000 at 23:05:20:

You can have the owner call the trustee and get a 30 day extension, usually 11 days before the auction it is to late to get an extension.


Re: what can I do to delay the foreclosure - Posted by GIO

Posted by GIO on December 17, 2000 at 02:57:02:

another quest.
the bank is 4closing on the individual who hasn’t paid the note, by transferring the deed , why should the bank stop 4closing on the owner who’s name shows up on the note (the prop is collateral for the note and the mortgagor will not change)- also if this deed transfer does stop the 4closure the bank can object to the trustee on grounds that it is only for the purpose of stopping the 4closure and the bankruptcy of the corp will not help the owner. --one more thing, if this does work what would stop the owner from constantly crating new corps. indefinately every couple of months