ON Canada - why would the bank foreclose on your property if you are current on your payment unless you did not follow one of the 4 covenants - pay your property taxes, have property insurance, pay your mortgage obligations and use the property lawfully as it is intended to be used. If you break any of the 4 then you will be in default and they can foreclose you.

Powered by

What can she do? she moved in with me (her mother) along with her baby. we just need to know what direction to go to get this resolved. her husband has stopped paying all their bills and has moved out of the house. he continues to procrastinate and won't get the papers in order to get this divorce finalized. her lawyer will not return her calls. should i get involved by calling her lawyer?

if her lawyer isn't returning her calls, he/she isn't going to return yours....you aren't the client.....her credit is going down the drain, it's too late since the bank is already foreclosing....she's screwed.....THEY haven't been paying their mortgage for quite some time if the house is in foreclosure, so you cannot blame it all on him.......THEY are going to get sued over unpaid bills, so she best get a job and start paying them since she has no court date yet...THEY are responsible for their bills

Powered by

Which option will leave me more money, paying less int rest on the house loan or leaving the money in the bank to collect interest?

hey, if you've got enough money to buy a house for cash then do it...the interest you earn wouldn't be as much as the interest you would pay on a mortgage...the only reason to use a mortgage would be to build your credit...so if you need to build credit then get a partial mortgage or something like that.

Powered by

We have receipts from the bank showing we were making our payments for our mortgage. we were unable to pay the payments in one transaction but were able to pay the total amount in two or three transactions. the bank accepted the payments now they are sending our payments back

If you do not sent in the FULL payment, the bank is under NO obligation to accept it. Also, if the bank has already begun the foreclosure process on you, they have probably washed their hands of you already. The combo of the two is the reason why they are sending back your payments. I would save those "payments" and start looking for a new place to live NOW!!!!

Powered by

I live in california and both properties are in california. primary in san francisco, rental in richmond. if i let the banks foreclose on my rental property can they come after my primary home? the value of my richmond property has gone down by 40%, and i owe more to the banks that what i could sell it for. i have been struggling to make the monthly payments since last nov 2007, and as a real estate agent, i have had no sales since 12/07. therefore i can no longer make my mortgage payments. i cannot sell or refinance my rental property due to the decrease in value. i have contacted bank of america, washington mutual and the many "consumer" counseling sites such as 999-hope for help. but all tell me that unless i stop making payments the banks will not talk to me about modifying terms. however, once i stop making payments i will then ruin my credit. and so i have until may 15, 2008 to either make my payment or not. and at this moment i am thinking of stopping payments.

On the upside, if you default on your primary residence, you can escpape the ordinary income & tax of debt cancellation http://www.irs.gov/individuals/article/0,,id=179414,00.html Unfortunately, this does not apply to investment properties. It may be better to let the primary residence foreclose & then move into the rental home. Most banks will not work out a short sale or loan modification until you prove assets, income, etc., in addition to being late on payments to the point of foreclosure process being on your doorstep.

Powered by

I am unable to pay my mortgage anymore so i was going to stay in the house until the bank makes me leave. will the bank look at my bank accounts, will they look at my other payments to see if i am behind on those as well? i have some money saved up but i wanted to use that for moving, will the bank take that? i live in california so what ar the chances they will come after me for the difference owed?

California is a non-recourse state. If you have non-recourse loan, the bank will probably send you a 1099 for the difference. The 1099 is then counted as income on your taxes. So if you had a difference of $100,000, you will owe income tax on your regular earnings AND the $100k.

Powered by

A friend of mine lives in michigan and told me they stopped making thier house payments 4 months ago and the bank hasn't even started the foreclosure. they also tell me that once they get the notice they have 6-8 months before they actually have to vacate the house. is that true? can they really live there for free for a year?

Every situation is different, & banks only foreclose if there's no other way to work something out. There is federal legislation that was just signed into law yesterday that is supposed to help those in foreclosure. Maybe that was what the bank was waiting for. I guessing too that any equity that your friend has built up, is going to be also lost. Additionally, your credit rating will be in the toilet for years.

Powered by

It is completely legal.

Powered by

Im current on my payments now but will be getting behind

contact the bank about what's going on in your situation. you don't want to lose your home to them. see if there's some sort of help out there.

Powered by

I'm thinking about just calling my bank and saying "we moved out, we couldn't afford it anymore, i left the electricity and water on for you so the pipe's don't freeze"

why dont you try working something out with the bank.They arent in the business of owning property and they would rather you stay in the house.Call them as soon as you can and try to work something out,GL