How do we sell when it was not reaffirmed? 8 Answers as of May 24, 2017

We declared bankruptcy over 7 years ago and never reaffirmed. We are looking to move and rent and have a buyer for our current house. She cannot afford to pay what the loan is at this time so I am completely unsure of the process. I would think the bank would want to work with her so the house doesn't sit empty if we walked away from it.

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Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
You are asking about a short sale. A realtor can help with that.
Answer Applies to: California
Replied: 5/24/2017
Ronald K. Nims LLC | Ronald K. Nims
She would have to contact the bank to determine what they are willing to do.
Answer Applies to: Ohio
Replied: 5/24/2017
OlsenDaines | Rex Daines
You call the bank and ask for the "short sale" department and if they are willing to do a short sale, then that is how you sell if for less than is owing on it. If they will not short sell, then you will either have to keep paying or let them foreclose.
Answer Applies to: Oregon
Replied: 5/23/2017
Portland Bankruptcy Law Group
Portland Bankruptcy Law Group | Christopher J. Kane
Whether you reaffirmed a mortgage (which is not even allowable in Oregon) has nothing to do with your ability to sell the house post-bankruptcy.
Answer Applies to: Oregon
Replied: 5/23/2017
Richard B. Jacobson & Associates, LLC | Richard B. Jacobson
This is a very interesting question-and an issue which probably occurs fairly frequently, but I don't think it has given rise to a question on this site yet. If your equity in the property is small, then you can offer to deed it back to the lender ('deed-in-lieu' of foreclosure). Or you can intervene with the lender and see if it will grant a mortgage to your buyers to pay off the house, as well as a purchase-money mortgage. A good sit-down with a banker whom you know might go far toward a resolution.
Answer Applies to: Wisconsin
Replied: 5/23/2017
    GARCIA & GONZALES, P.C. | Richard N. Gonzales
    You should meet with an experienced real estate lawyer who also handles bankruptcy matters. I have extensive experience in both areas. I have a two hour minimum, but I could explain all your options to you. I couldn't hazard a guess based on the information here.
    Answer Applies to: Colorado
    Replied: 5/23/2017
    Stephens Gourley & Bywater | David A. Stephens
    Talk to the bank about a short sale. If the bank approves it she can buy for less than the debt.
    Answer Applies to: Nevada
    Replied: 5/23/2017
    Garner Law Office
    Garner Law Office | Daniel Garner
    A sale for less than the debt is known as a "short sale" and would require the bank's approval. If they don't approve it, you should at least notify the bank of your intention to vacate so they can secure it. As long as it is in your name, you should keep insurance on it. If the short sale is not approved, you could offer to sign over the deed to the bank in lieu of a foreclosure. That way you could get out of the insurance.
    Answer Applies to: Oregon
    Replied: 5/22/2017
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