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Offers from strangers to do a
short sale, or straw purchases of your home to stop a home foreclosure, are often
fraud and con- artist scams to steal your home. You must be very careful
about using these methods to stop a foreclosure. A short sale is when someone, normally a
relative, offers to buy your home for what would be obtained at auction.
This is often for much less than what is owed on your mortgage. This will
normally work if you only have a 1st mortgage on the property. It
normally leaves you owing the deficiency or it
gives you an income tax as if you earned the
amount forgiven. Most people simply file bankruptcy.
This allows you to save the home in a Chapter 13
by catching up the arrearage or avoiding the tax
problems of a short sale. We can
file an answer to your foreclosure to give
you additional time to do a work out with your
mortgage company or file a bankruptcy to help
avoid or stop the foreclosure. Here is a
general time timeline of the
foreclosure
process and a brief explanation of the
mortgage modification,
workouts, short sale and foreclosure prevention
programs. .
A straw purchaser can be
used. This is a third person who buys your home on the
courthouse steps when the house is sold.
Again, the house may be purchased for far less
than what is owed on the property. There
is a deficiency but no tax problem.
People will often promise to
purchase your home and then lease or sell the
home back to you. This is often a
con-artist scam. The person will
often promise to lease or sell it back to your,
but instead will resell the house to someone
else or evict you as soon as the foreclosure
sale is over. Even if he leases the home back to
you, he owns the home and makes a profit. If you use either of these methods
to try to save your home, be very careful of the
person you are dealing with. If you are
stuck in a foreclosure see us to avoid
foreclosure. Please beware of
Rescue scams
claiming to help you stop a Kentucky
foreclosure.
If you have had a lawsuit
filed against you then seek an attorney
immediately to answer the lawsuit or file a
bankruptcy to save your home. If you
have a foreclosure lawsuit filed against
you this is the link to the state of
Kentucky's stop
foreclosure website. |
