I'm going through a foreclosure and i want to know if i still have to pay the mortgage anything after or during the foreclosure process? how will having a foreclosure on my record really affect me? can i still rent and get employed after?
2007-09-17 11:27:54 · 6 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
If you have a choice you should consider a short sale instead of foreclosure. A short sale is a negative on your credit report but not nearly as bad as a foreclosure.
Since your lender has already started the foreclosure process I'm not sure that missing a few more payments than you already have will be that bad. Besides, you'll need the money to find another place to live once you have to vacate the property.
Keep in mind that you may have to pay taxes on the debt-relief or the difference between the amount of your loan and the amount the bank eventually gets for your home. There may be ways around this however. Check the site I've listed below and read up on section 108 of the IRS code and form 982. Good Luck!
2007-09-17 18:56:25 · answer #1 · answered by JT 2 · 0⤊ 0⤋
I have never been through a forecloser myself, yet my best friend who lives with me has, hence the fact he lives with me!
As for paying during the process , call and ask. I don't think it really matters now that you being foreclosed if you make a couple of payments or not.
Does a forecloser affect you? Better believe it, He cant even rent an apartment, so he rents a room from me. His credit score from this is rock bottom now, Lenders look at him as high risk and interest rate for him are extremely high.
Always remember, when it comes to banks and lending offices you are only as good as your credit score, sad but true.
2007-09-17 11:42:19 · answer #2 · answered by braindamageblue 4 · 0⤊ 0⤋
Now that your in foreclosure you making the payments really isn't gonna make a difference. I would save all you can to move cause when the sale date comes your out. Now your credit is crap for up to 10yrs but if you can find some investor to buy your home before the sale you can get out clean. Here's the thing your gonna have to sell it for dirt cheap. No one's gonna buy it if they can't make any money. Sorry but that's how it is. You sell for cheap and try to walk with say 5000 to move and get out. Sure it's hard to walk away from the home you put your time and money into but it's that or bad credit for up to 10yrs, can't get a loan for anything, and almost can't even rent.This way at least you could still buy a house.
2007-09-17 12:35:13 · answer #3 · answered by Anonymous · 0⤊ 0⤋
After it is foreclosed on of two things will happen
1. The lender will go after you for the difference of what was owed, and what it sold for
2. They will forgive the remainder and send you a 1099 which you will have to claim on your income tax (at the bonus rate of 36%) and owe taxes.
Either way your credit is shot and you will owe allot of money, better the mortgage company than the government since the government will have no problem, and take no time garnishing your wages
2007-09-17 11:40:09 · answer #4 · answered by Pengy 7 · 0⤊ 0⤋
Sarah if there is any possibility of you saving this house I suggest you fight like hell to keep it. Start by calling the lender and asking for help. Also call this number 888-995-HELP. It's a counseling service approved by HUD to help folks during this crisis. Do both of these calls tomorrow! Don't delay you only make it worse by not responding to inquiries from your lender. As for your question, a clerk of the court will serve you a notice of the sheriff sale date and particulars about vacating the premises. Yes it ruins your credit and could impact your ability to obtain affordable rental housing. It doesn't affect your ability to get employment.
But please listen to me and call tomorrow- please?
2007-09-17 11:45:33 · answer #5 · answered by Anonymous · 0⤊ 0⤋
in the adventure that your dealing with foreclosure that is considering you haven't any longer made abode money so the economic corporation will now take your abode and sell it for an extremely low priced, to get the money you owe. i desire to advise you bypass to the economic corporation and consult with them in case you ought to pay back what your in the back of on. otherwise I say you could bypass to a financial disaster criminal professional and record for it asap. you've got the skill to maintain your abode.
2016-10-18 22:24:02 · answer #6 · answered by Anonymous · 0⤊ 0⤋