Jump to content

Looking to get a delay for a Sheriff's Sale Any ideas???


Recommended Posts

I had a rental house, it has been foreclosed on in the courts, the Sheriff's sale has been scheduled. I would like to delay the sale because the people that live in the house have medical issues, and I would like to help them stay in the house until at least after the holidays, the sale date is mid Nov so at the rate things are going in this county, they will probably be evicted just before Christmas. The house was not foreclosed on because they did not pay rent, it occurred because while I was in the process of modifying the loan, they started the foreclosure procedure in addition, the lender had not paid the taxes and insurance out of the escrow account for 2 years. The loan was initially with First Horizon, they changed the servicing to ASC, of which it appeared the loan was also sold because the parent company of ASC is Wells Fargo, but court papers were filed by U.S. Bank. I did all I could and attended the court date, but basically the lawyer had the promissory note in hand and claimed his client U.S. BAnk had ownership and therefore the foreclosure was granted. The lawyer claimed the loan was never sold just that basically all these companies were one in the same.

Any ideas on how I can get a stay of the sale so these people are not looking to move at Christmas and in the lousy Northern Indiana winter?

Link to comment
Share on other sites

trueq, well that would be the simplest way, but I cannot afford to do that. I have no cash, 100% is due day of sale in this county. I have no way of obtaining any credit to do so either. This house was the "best" of 4 purchased from 2 guys that left me hanging a few years ago. The other 3 are already lost to foreclosure. This one was doing good because I had these people who actually paid the rent, unlike the tenants the sellers had put in the other 3 to make it look attractive to me. So I now have 4 foreclosures on my CR. Add in that my husband who had fallen ill and was unemployed for 3 years just started working about 9 months ago at a commission only job , he cannot get a paid job right now because of the negative CR, and that our county has a 20%+ unemployment rate. So I appreciate the idea, but I am finished with the rental biz in that community. I have one other house 2 minutes from where I live, I drive by it daily and it is easy to occupy, I have had 100% occupancy since I bought it 41/2 yrs ago, but all these other houses were 45 min. away and not in a area that was safe for me to go look on alone. My husband was to manage these properties but as I said fell ill. I know there are legal maneuvers to get a stay of the sale, but the info I have seems to be if it is for a primary residence and not what was a rental. I am just trying to help these people not have to move on Christmas Eve so would appreciate any other ideas to get a stay of the sale or any info on what legal document I should file to get a stay.

Link to comment
Share on other sites

...the Sheriff's sale has been scheduled

I work for a Mortgage Attorney Firm, it's too late to negotiate with your lender. You need a Bankruptcy Attorney to stop your foreclosure.

You could file bankruptcy before, or on the day of sale at 9:00am at the court house. This will stop the sale and buy you time.

I understand you don't have money, why not talk to the people that are living in the property, and have them help you.

After your house is sold - you lose all rights to it, and yes it's about 30 days to evict and a sale....

Good Luck...:)

Edited by 2ndTimeAround
Link to comment
Share on other sites

trueq didn't say you needed the money to buy it. I remember reading about a guy who used every trick in the book to stave off a foreclosure and was successful in doing for several years. One of his tactics was filing some paperwork with the state to create a shell corporation. He'd then use that company to "buy" his house when it went up for auction. The paperwork related to non-payment and the delay in listing it up for auction again bought him a few months, IIRC. It sounds like a major hassle and is an ethically questionable maneuver though.

Link to comment
Share on other sites

I have no ideas on how to delay a foreclosure...

But, if you aren't able to delay it...since you know it's going to happen, are you in a position to help these people pack up and move before winter sets in and the holidays roll around? If you can't delay it, you may as well be pro-active about it. If you don't have the means to even do that, maybe a local church or charity can send some volunteers to help pack and move them once they find a place to stay.

And kudos to you for being a landlady with a heart. A lot of investors are leaving their tennants high and dry, often not knowing the house has been foreclosed on until the sheriff knocks to kick them out! Your doing your best to help them, and even if it turns out you can't do much, at least you're making the attempt!

And just a shot in the dark - i have no idea how these things work - but is there any way to arrange with the bank that they stay in the home after foreclosure and they pay the bank rent instead? I'd think the bank would rather have a foreclosed home generating rental income than one that's totally empty, or having yet another depressed home go up for auction. Like I said, I have no idea if this is possible, I'm just throwing it out there.

Link to comment
Share on other sites

I'm being foreclosed on a couple of rentals. Wisconsin gives me 3 months after judgement, and federal law requires me giving the tenants 90 days notice. Even though I'm contesting the foreclosures (to buy some time for short sales), I'm working with my tenants. In fact, they were served anyway.

In one case, I agreed to let the tenants out of their lease 2 months early. This gives them 60 days to pack up and leave. They could have 4 months, but this is what they want. Considering that the hearing is in about a month, there was no danger to them of getting evicted early.

In the other case, the tenant was going to leave at the end of September, but hadn't found a place yet. She requested another 2 weeks, which I gave her. I'm even giving her a few extra days to clean up. She was served in early October, so the case has no effect on her at all.

I really feel bad about this. However, the tenants in the first case were really behind in their rent, and we had given them a lot of breaks in their rent. So, there was no way we were going to renew their lease anyway.

At least none of my tenants were hurt by this. The ones who are leaving early are probably really leaving because they can't afford the place since their Section 8 payments were cut.

Link to comment
Share on other sites

Sound like you have a real mess , if it were me I would stop all payments to the banks , file bankruptcy , have the lawyer file then move like a snail , use the rent money to pay the lawyer , rent the other 3 houses for anything you can get , now start looking for an investor that can deal with the bank to take over those homes at a huge discount .

Don't know if any of this will work , but its an idea you could build on .

Link to comment
Share on other sites

Since you appear to have a real question as to whether the Plaintiff was a real party in interest, perhaps you could get an attorney to file a motion to stay the sale while you attempt to vacate the judgment.

You see, if the sale is already been scheduled, that means there is already a money judgment against you for the underlying note. The sale is simply the forced redemption of collateral. The only way to stop the sale is to call into question the judgment on the note or to show that the subject property is not actually the collateral for the note.

Link to comment
Share on other sites

I had a rental house, it has been foreclosed on in the courts, the Sheriff's sale has been scheduled. I would like to delay the sale because the people that live in the house have medical issues, and I would like to help them stay in the house until at least after the holidays, the sale date is mid Nov so at the rate things are going in this county, they will probably be evicted just before Christmas. The house was not foreclosed on because they did not pay rent, it occurred because while I was in the process of modifying the loan, they started the foreclosure procedure in addition, the lender had not paid the taxes and insurance out of the escrow account for 2 years. The loan was initially with First Horizon, they changed the servicing to ASC, of which it appeared the loan was also sold because the parent company of ASC is Wells Fargo, but court papers were filed by U.S. Bank. I did all I could and attended the court date, but basically the lawyer had the promissory note in hand and claimed his client U.S. BAnk had ownership and therefore the foreclosure was granted. The lawyer claimed the loan was never sold just that basically all these companies were one in the same.

Any ideas on how I can get a stay of the sale so these people are not looking to move at Christmas and in the lousy Northern Indiana winter?

I recently signed up with a non-profit company that can stop your sheriff's sale for free.

I would be happy to help you with it. I can call you about it later today, Sunday, Oct 18, if you want.

I have dealt with foreclosure in the past, I totally can relate.

Link to comment
Share on other sites

I recently signed up with a non-profit company that can stop your sheriff's sale for free.

I would be happy to help you with it. I can call you about it later today, Sunday, Oct 18, if you want.

I have dealt with foreclosure in the past, I totally can relate.

what company is this?

I see red flags right off the bat, by the tone of your post. you do know that soliciting business here is a punishable offense?

Link to comment
Share on other sites

Thanks for all the input.

david9041: it is too late for that idea, the other 3 properties are long gone and the one in question has already gone through the courts, it is scheduled for Sheriff's sale. Right now I am trying to set some money back so that I can help these people relocate, was just hoping they would not have to do it at Christmas.

nascar: I agree with you, but I don't have anymore documentation now then what I had on the court date. The court date was fun, it was a newbie lawyer and the questioning I brought up to the judge about them not having the right to foreclose made this newbie lawyer break out in a profuse sweat when the judge made him sit and go through case law books to prove what he was saying (he had the promissory note and therefore had all rights to foreclose) it was fun to watch this kid sweat it out for 20 minutes. In the end, the lawyer was able to show the judge in case law books that he who holds the promissory note, owns the rights to the property.

brokebob: thanks for the info, 90 days is a lot of time, not required here in IN, and I am sure the tenants do not know what is going on, I have been trying to fight this thing to get them to be able to stay.

debtfreein18: I am going to help them out, they are good people. Had I had this same quality of person in my other houses, I never would have lost them to foreclosure. This was a bit different, it started with the lender sending me letters 2 1/2 yrs ago saying that they had $$$ (the amount of the monthly payment)in an un-applied account and I needed to send them more money and that the loan was delinquent and if I did not send them the money they would foreclose, this went on for 9 months of phone calls and copies of canceled checks showing I was not behind and they needed to APPLY that unapplied money to the loan. Then all of a sudden I stopped receiving those letters and then when I went to pay insurance on another property I was told by my agent that this house in question needed to get paid too, I said heck no that one is escrowed and there is no way after dealing with them for the last 9 months on the other issue was I going to dip in and pay what was sitting in the escrow account. I later found the the taxes were not getting paid via escrow either, but I had no extra money as I had an ARM loan (I tried to get the loan modified but that is when the crap hit the fan...again)and only had about $15 rent-mortgage pymt. I tried to get these people to buy the house, but I don't think they can do it. Anyway, yes, I am going to do good by these people it is not their fault.

shortbus: not sure how your friend did this, but corporation or not, in this state and in this county you have to hand over 100% cash on the day of the sale so the corporation has to have money. I have already been lured in by these no money down Carlton Sheets ideas.....I am no longer interested. I may not be a genius, but I do learn from experience. One thing I have learned is that I am not the Landlord type of person. I have 1 house with no issues and good tenants and I am keeping it that way.

2ndtimearound: thanks I will look into it.

Link to comment
Share on other sites

shortbus: not sure how your friend did this, but corporation or not, in this state and in this county you have to hand over 100% cash on the day of the sale so the corporation has to have money. I have already been lured in by these no money down Carlton Sheets ideas.....I am no longer interested. I may not be a genius, but I do learn from experience. One thing I have learned is that I am not the Landlord type of person. I have 1 house with no issues and good tenants and I am keeping it that way.

I never said this guy was my "friend". It was simply some guy who got national attention about a year or so ago. The only things about his actions that I admired was his tenacity and resourcefulness. I wasn't recommending that you play similar games. Good luck.

Link to comment
Share on other sites

what company is this?

I see red flags right off the bat, by the tone of your post. you do know that soliciting business here is a punishable offense?

Sorry to concern you. The company is HSONA, and the link I have is the corporate site, not with any affiliate: www.myhsona.com. They are a non-profit company that offers a free service to stop a sheriff's sale. There is no further obligation.

I almost said nothing to not bring any suspicion or attention to myself; but I decided to say something that might help.

I am sincere; I am new here and I came to learn, but when I saw the need for any ideas to delay a sheriff's sale, I knew I had one.

Link to comment
Share on other sites

I'm too new to send a private message, so to give you the info:

The link following is the corporate site: www.myhsona.com.

I have considered working for this company, but have not pursued it.

I think they have a good system; I may have to use it myself down the road. I am not in foreclosure now, but may end up there again and if that happens, I will call them for help.

They really do stop the sheriff's sale if at all possible and they do so for free. There is no further obligation. They offer a paid membership that is optional, but they offer to stop the sale as a free service.

I have some of my own ideas, but you do know to make sure the mortgage company produces the original note. I hope all this helps you. I wish you well.

Link to comment
Share on other sites

trueq didn't say you needed the money to buy it. I remember reading about a guy who used every trick in the book to stave off a foreclosure and was successful in doing for several years. One of his tactics was filing some paperwork with the state to create a shell corporation. He'd then use that company to "buy" his house when it went up for auction. The paperwork related to non-payment and the delay in listing it up for auction again bought him a few months, IIRC. It sounds like a major hassle and is an ethically questionable maneuver though.

Yeah, that would be fraud and anyone caught doing that could be charged and, if convicted, sentenced to prison. I don't recommend doing this.

Link to comment
Share on other sites

Guest
This topic is now closed to further replies.
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.. For more information, please see our Privacy Policy and Terms of Use.