You’ve seen a bandit sign at the intersection that says STOP FORECLOSURE call Mr Miracle at 555 BIG SCAM. Here’s an opportunity. Mr Miracle who seems to talk a lot like PT Barnum and Elmer Gantry all rolled into one, suggests that you deed your house to him subject to a mortgage. What does it mean? In Florida, that means you have handed over your house to Mr. Miracles. He has it. This is hers. You have to move or pay him rent. He owns the house but you owe the mortgage. You owe a mortgage. You sign the promissory note when you get the mortgage. You personally promise to pay back the money. Otherwise, the bank will sue you for a shortage assessment. What is deficiency assessment? That’s when the bank sues you and gets a personal judgment against you for the difference between how much you owe and what the house sold at a public foreclosure auction on the courthouse steps when Mr Miracle didn’t catch up and make payments like he said he would.
Okay. You can always declare bankruptcy unless you have done so and the bank waits until you do so to sue you. Isn’t that judgment expired? Yes, they did in twenty years. In Florida creditors can take your assets. take your bank account, decorate your wages, aggravate you for a long time
Wouldn’t it make more sense to get more information before you hand over your house to Mister Miracle.
Here’s another idea. Let’s do nothing! Yes do nothing. Just sit back and wait for the foreclosure auction. It’s not your fault that you’re still in this fix. It’s the bank’s fault. It’s the real estate agent’s fault. This is the government’s fault. Doing nothing is only slightly better than handing over your house to Mr Miracle. If you do nothing, in Florida, it will take about six to ten months for the foreclosure process to occur. Your home will be sold on the steps of the courthouse. It will be sold for pennies or the bank will buy it. You may be sued for an appraisal. flaws. Your troubles have just begun.
Treat it to Mr Miracle. That’s not a good plan. Doing nothing. It’s not much better. What can you do?
Here is a novel idea. Pursuing repayments and continuing to make payments. I am amazed at how many people are being taken over who are not working. Go to work. Make money. Do something below your dignity. Sell something. Sell everything you have. Sell your car. Sell your jet ski. Sell your furniture. Sell your jewelry. Sell your motorcycle. If any of these items have a payout, sell them first. Collect the money and make payments. Unless you cheated to get this mortgage, you can buy this house when you buy it. Buy now. Make payment. Do not take this lying down. If you’re committing mortgage fraud to get this loan, that’s an even better reason to make payments. After foreclosure fraud investigations can really make your life miserable. Google it,
Many people come to my real estate school there to learn how to learn to make money so they can make payments on their foreclosed homes. Real estate, insurance, prepaid law, Avon, Mary Kay, Pampered Chefs, and many other products are sold on commission only. Anyone who wants to make money can learn to make money selling one of these products. It’s easy to get hired because recruiters don’t know if you’re going to work. Almost any product that is sold on commission can only be sold by anyone who works hard. Get such an opportunity and earn money. Make your payment. Most of these products including real estate can be sold part time. If you are currently working but need more money, find such opportunities. Make your payment.
Contact your mortgage company or bank. Talk to them. Ask them what you can do. They may amaze you. I have heard some amazing stories.
This is a plan that I believe will work. Sell your house. If you can’t afford it, sell it. What could be simpler than that. Find a buyer. He got a new mortgage, paid your mortgage. Your problem is solved. What if your house is worth three hundred thousand and you owe four hundred on your mortgage?
Banks are in the business to make money. If they foreclose on your house, it may be sold at public auction on the courthouse steps for $200,000, or the bank will buy it on the courthouse steps. Then they would register him with a real estate agent and he would make a commission. They will also pay a normal transaction closing fee. They will also have all the normal costs of home ownership; taxes, HOA dues, insurance, maintenance, etc. They don’t want to do that. However, if it is the most profitable option available to them, they will.
Another option for you is called loss mitigation, in slang called “short sale”. The way it works is, you find a buyer, the best way to do that is to register with a good real estate agent. Real estate agents find buyers at reasonable prices. Participate in that decision. After all costs of the sale have been paid, the bank receives the proceeds from the sale and repays the loan.
Have an attorney represent you and ensure that the bank waives their right to a shortfall assessment.
Please understand you are in a very bad place. It will take a lot of inconvenience to get out. Be good to yourself. Be kind to your partner. Don’t sign papers you don’t understand. Legal advice is cheap compared to what could have been without it. Thinking. This is a big important decision.