What do you think???

[luvmylittleboy2003]

Short of the long...
A dear friend of mine husbands lost his job and their house was forclosed and put up for auction to be sold on Jan 27, 2010.
Husband has since found a job, and they did a loan modification. The lady today told them, today, it went through and not to worry - they should have the final paperwork by the 1st or 2nd week of Feb. (due to being so far behind).
She is afraid they are just telling her that and will show up on Jan. 27th to hold the auction. She is also worried that all their stuff will still be in the house and they will be kicked out with nothing.
I told her this would not happen and maybe to get something in writing - she said she asked the lady who did the modification for that and the lady said they don't send anything out - but not to worry all is fine.
What do you think?

 

[luvmyfam444]

I'd be nervous - without any kind of proof.

But I know when we almost lost our house - we had a date set & everything we were told as long as we came up with all the money they wanted (it was a couple thousand) we could pay up until the date of the auction. In fact we could even come to the auction & bid on our own house of course it wouldn't be cheap that way - but there was a way to get it back.

 

[binny]

Get it in writing. I would never assume anything was "fine" and "done" without it. Insist on it, even if its just the ladies name, job title and her hand written scribbled that says "Foreclosure has been cancelled, loan mod in process" or something like that I would never take someones word on something so serious

 

[luvmylittleboy2003]

Get it in writing. I would never assume anything was "fine" and "done" without it. Insist on it, even if its just the ladies name, job title and her hand written scribbled that says "Foreclosure has been cancelled, loan mod in process" or something like that I would never take someones word on something so serious

She has the lady's name, number, etc...I'm guessing she is the 'direct/main lady' that took care of it all.

 

[C.Ann]

I would insist on something in writing.. If need be, go "over" this woman's head..

How many times have people ended up with unnecessary trouble because they didn't "get it in writing"?

I would be bugging the heck out of this woman..

Good luck to your friend!

 

[binny]

She has the lady's name, number, etc...I'm guessing she is the 'direct/main lady' that took care of it all.

Good, Id call her Tuesday and demand something in writing "for my file"
I know some of the smaller local banks work this way but I just wouldnt trust it. Thats just me, Im very cynical after our latest house debacle. I would not trust a close family friend even. Writing is what saves your sanity. If the sheriff shows up anyway because it was on the dockett, they wont care who said what, they want a letter.

 

[The Mystery Machine]

Short of the long...
A dear friend of mine husbands lost his job and their house was forclosed and put up for auction to be sold on Jan 27, 2010.
Husband has since found a job, and they did a loan modification. The lady today told them, today, it went through and not to worry - they should have the final paperwork by the 1st or 2nd week of Feb. (due to being so far behind).
She is afraid they are just telling her that and will show up on Jan. 27th to hold the auction. She is also worried that all their stuff will still be in the house and they will be kicked out with nothing.
I told her this would not happen and maybe to get something in writing - she said she asked the lady who did the modification for that and the lady said they don't send anything out - but not to worry all is fine.
What do you think?

I think she has every right to worry. Unless I see something in writing, I would be freaking out.

 

[luvthatduke]

Your friend needs to call her county courthouse immediately!!!

Tell her to call the courthouse & ask to be directed to the
department that handles foreclosures (likely the sheriff).
It is the sheriff's department generally that serves & finalizes
foreclosures in most counties.

Whatever department she's directed to should be able to tell her
with certainty whether or not her bank/mortgage holder
has put a "hold" or "stop" or similar wording on the entire foreclosure filing.
She should NOT depend on her lender's "word" or even
anything they give her in writing.

PLEASE TELL YOUR FRIEND TO CONTACT HER COUNTY,
THAT IS THE ONLY WAY SHE WILL KNOW IF THEY ARE
GOING TO SHOW UP AT HER DOOR ON JANUARY 27TH.

Sorry to "yell" but let's just say I know how these things work,
and I also know how lender's assurances do not pan out.

 

[Carly_Roach]

Short of the long...
A dear friend of mine husbands lost his job and their house was forclosed and put up for auction to be sold on Jan 27, 2010.
Husband has since found a job, and they did a loan modification. The lady today told them, today, it went through and not to worry - they should have the final paperwork by the 1st or 2nd week of Feb. (due to being so far behind).
She is afraid they are just telling her that and will show up on Jan. 27th to hold the auction. She is also worried that all their stuff will still be in the house and they will be kicked out with nothing.
I told her this would not happen and maybe to get something in writing - she said she asked the lady who did the modification for that and the lady said they don't send anything out - but not to worry all is fine.
What do you think?

Your friend needs to call her county courthouse immediately!!!

Tell her to call the courthouse & ask to be directed to the
department that handles foreclosures (likely the sheriff).
It is the sheriff's department generally that serves & finalizes
foreclosures in most counties.

Whatever department she's directed to should be able to tell her
with certainty whether or not her bank/mortgage holder
has put a "hold" or "stop" or similar wording on the entire foreclosure filing.
She should NOT depend on her lender's "word" or even
anything they give her in writing.

PLEASE TELL YOUR FRIEND TO CONTACT HER COUNTY,
THAT IS THE ONLY WAY SHE WILL KNOW IF THEY ARE
GOING TO SHOW UP AT HER DOOR ON JANUARY 27TH.

Sorry to "yell" but let's just say I know how these things work,
and I also know how lender's assurances do not pan out.

luvthatduke has it mostly right and may be absolutely correct for his/her state.

In Michigan what happens in a foreclosure situation (something we're VERY familiar with here) is that the property is sold on the steps (or in an office) of the county Sheriff's office to the highest bidder. I have yet to see ANY sheriff auction performed on the property itself, however this may be the case with farms.

Typically, if the primary mortgage amount is high and the property doesn't have some intrinsic value such as being in a prime location and in pristine condition, no one but a representative of the primary mortgager shows up and bids. However, if the property is paid off and it's a "back tax" situation, or if the mortgage amount is low (such as less than 10K or 20K), you'll get vultures who only want the property so they can either "flip" it or turn it into income property.

In most cases, the property almost always goes back to the primary mortgager. Then the tenant has six months to "cure" the mortgage before the sheriff shows up to clear the property and secure the domicle.

I'd advise your friend to seek legal help. By all means, get the bank's promise in writing (if possible), but the sheriff has a scheduled auction date and that auction will happen come hell or high water unless there's a court injunction to stop it. He's not going to stop the auction just because someone hands him a letter saying that they are "working things out" with the borrower. It has to be official and signed by a judge.