A property that I am a co-signer on is going into foreclosure. In a question I asked previously regarding this matter, someone pointed out that I will be sent a 1099-c form. What exactly does this mean? If the house is sold at auction will I owe taxes on the amount the house sells for or the amount that was owed or, if the house does not sell for enough, will I owe taxes on the amount not paid?
If we can sell the house before the foreclosure is complete, how does that impact the situation? I’m so confused.
And please, no posts about your tax or loan company. I will report it as abuse.
Watch as a real-estate professional explains how to get pre-approved for a home loan in this free online video for novice homebuyers. Expert: John Jackson Bio: John Jackson has years of experience and has put together a professional real estate team known as John Jackson & Associates. Filmmaker: Ross Safronoff
With real estate down, the number of foreclosed-upon properties growing and buyers looking for deals, are foreclosures a smart purchase? Bloomberg On Demand explores the risks and rewards of the buying at every stage of the foreclosure process.
There is no doubt that it is entirely possible for you to work on your own with the bank to come to a mutually amicable solution to your foreclosure problem, but you must also keep in mind that time is of the essence in dealing with loan modifications. While you are trying to deal with the lender or servicer precious time is slipping away. Most lenders and servicers continue on with the foreclosure process while you negotiate a modification or other alternative. Your denial of a modification may not occur until the day before the foreclosure sale. And if you do receive a modification offer, the offer might be unfair or possibly contingent on you giving up important rights. There are no hard and fast rules on what lenders and servicers are willing to do, so it would be very helpful to have a skilled attorney represent you and present your situation in the best light possible. An attorney can review your financial information and help you devise a strategy to reach your end goal whether it be to modify your loan to a fixed or lower rate, add back payments to the principal, temporarily reduce payments, or just to help give you enough time to sell your home or negotiate a short sale, deed in lieu, or other alternative. An attorney can also review your loans and servicer/lenders’ actions to see if there are any violations of HOEPA, RESPA, Reg B, the Fair Debt Collections Act, the Fair Credit Reporting Act, acts regarding subprime loans, predatory lending acts or any of the other consumer/borrower protections found in North Carolina and/or Federal law. There are many rules and regulations out there that protect borrowers and consumers that you may be able to take advantage of. Additionally, an attorney often has contacts in Loss Mitigation, Short Sale, and other departments within servicers and lenders which can increase the efficiency of you loan modification review and so that you don’t have to spend your valuable time on hold with servicer or lender departments just to have your modification paperwork lost or to be juggled from one department to another. An attorney can make these calls, negotiate your position, propose many alternatives, advise you at each juncture and keep you updated throughout the process instead of you spending large amounts of time in limbo wondering if you are doing everything possible and whether you have explored every option to reach your goal whatever that may be. You may only have one shot at a loan modification or other alternative and by employing the services of an attorney you can feel assured that all possibilities and avenues have been explored. For more information on loan modifications and other foreclosure alternatives, please visit: http://zellersrudd. com/areas_of_practice/charlotte_foreclosure_alternatives. aspx
Prior to founding Zellers Rudd PLLC, Dan Zellers and Scott Rudd worked together in the real estate finance group of some of the top international law firms in the nation. They represented large national banks and servicers in multi-million dollar commercial property transactions as well as multi-billion dollar commercial loan securitizations. These transactions included the negotiation of large servicing contracts as well as conducting large commercial loan transactions, loan assumptions, defeasances, parcel releases, and other consent matters on large commercial properties located all across the nation.
How much time do I have to move after my home has been sold at a foreclosure sale? After the foreclosure sale there is a 10 day upset bid period before the sale becomes final. After that time has passed and there have been no upset bids the sale then becomes final. At that point the third party buyer, the lender, or the foreclosure trustee who purchases the property or represents the purchaser of the property at the foreclosure sale will then send you a letter, probably via certified mail, stating that you have 10 days to voluntarily vacate the home. Once the ten days period in the letter has expired the third party buyer or lender will apply to the Clerk of Superior Court for an Order for Possession. If the Clerk allows the Order for Possession that order will direct the sheriff to remove all occupants and their personal property from the premises within 7 days of receipt. So, in general you really don’t have much time, this eviction process is much shorter than your typical landlord-tenant eviction. If you need a week or two to transition to another home or apartment contact the trustee or the buyer (contact the party that sends the ten day notice letter) and explain your situation. Most often they will give you a limited time to move you and your possessions from the residence. If you do not make the effort to contact them, they will more than likely move the application for an Order for Possession along as swiftly as possible. For more information on foreclosure and foreclosure alternatives, please visit: http://zellersrudd. com/areas_of_practice/charlotte_foreclosure_alternatives. aspx
