My wife and I are in the midst cutting our losses and foreclosing on a couple of property out in east Texas. Has anyone here foreclosed on property before? How did it effect you? How did you get through it? Any advice after I foreclose? Thanks!
If you have the means to pay your mortgage and are dumping it just because you are upside down, the mortgage company could theoretically sue you for any losses they accrue.
Maybe I am misreading the OP's post, but as I read it. He intends on foreclosing on some houses. He didn't say he was being foreclosed on or allowing houses to go to foreclosure. The OP is the note holder?
If you are the owner and you're going to foreclose on someone else, you might want to try Deed in Lieu of Foreclosure. We're in the process of doing that with a property and it's been much easier than going through the foreclosure process.
I agree with firecat. Deed in Lieu is the way to go. Give them a month to move and cash AFTER they have loaded the moving the truck. You will save alot of money on repairs and time. Borrowers can drag out foreclosures for a surprisingly long time. It can be over a year, if they file bankruptcy. Then, they agree to a payment plan but never make payments. It goes to foreclosure a 2nd time, the borrowers sell 1% of the property to a relative, and pay them to file bankruptcy. Then, you have to start all over again.
Actually this is my situation, 3 years ago we purchased 2 empty lots of raw land that is suppose to become a residential community with a golf course. Being the naive couple we were suckered into purchasing not 1 but 2 lots. The intention was to sell the lots after 3 years and make a profit. Well, go figure, the land has been slow to develop and this "Million Dollar" clubhouse they promised keeps getting pushed back. (It's supposed to markedly increase the value of the land). Oh and the golf course was suppose to be complete by now. Yeah, the same one they said the PGA was going to play in. In any case we've been paying "mortgage like" monthly payments and of course who could forget the taxes at the end of the year. We didn't have kids at the time of purchase and we lived in an apartment. Fast forward to now we have 1 kid, another on the way in a few months and a brand new house. So this is where we stand.
i'm thinking of a location near Trinity...Lake Livingston. i'm guessing we're talking about different things. had a client who was in a similar situation.
