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WALLSTREETESQ
WALLSTREETESQ, Attorney
Category: Bankruptcy Law
Satisfied Customers: 17080
Experience:  14 years exp., CH 7 AND 13 Bankruptcy cases, AFL-CIO UNION PLUS, UFT NYSID AND ALL MAJOR UNIONS
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I was discharged thru Chapter 7 in 2011. A mortgage holder

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I was discharged thru Chapter 7 in 2011. A mortgage holder on property owned in NC did not foreclose, though the debt was discharged. I am still on the deed, though have presumably no claim to the property. The lender continues to pay the taxes, though does not pay HOA dues. Do I have any trailing liability on the property to include HOA fees and accidents? Thanks

WALLSTREETESQ :

Hello I am a licensed attorney here to help you with your question, please review my response and do not hesitate to ask for clarificati on

WALLSTREETESQ :

Did you surrender the property to the lender?

Customer:

yes, as far as I know. It was a homesite

WALLSTREETESQ :








WALLSTREETESQ :

If your name is XXXXX XXXXX the deed, you need to contact the lender and try to quit claim the deed to them, so they are the new owner,

WALLSTREETESQ :

If not you can be sued for the HOA fees after the bankruptcy

Customer:

My problem is that the HOA dues were incurred post discharge on the debt, and it is just a lot. So because I am still the "owner" I owe the dues? strange...

WALLSTREETESQ :

Yes, it is a strange law, and only applies to the condos, the law however is the law, and you need to stop the charges as soon as possible, you can even contact the management company and advise them of the matter, and see if they will take the condo from you.

Customer:

I am sorry, it is a homesite. just raw land in a sbdv

WALLSTREETESQ :

If they have association fees you would still be liable.

WALLSTREETESQ :

If their is no association and is only taxes, then you would not.

Customer:

crazy. So, call the lender and ask to quitclaim the deed to them. If they say ok, fine. If they say know I owe association fees forever? Or at least until the lender sells the property? Am I responsible for selling the property?

WALLSTREETESQ :

What typically happens is when the property is sold, the HOA fees would be paid as well,

WALLSTREETESQ :

You would not be forced to sell it, the bank would, but if you quit claim the deed to them they would be liable for all fees

Customer:

I also assume I am responsible for any slips and falls, etc.

Customer:

One last question, why would a lender foreclose if he would only have to pay taxes to maintain his lien?

WALLSTREETESQ :

If your name is XXXXX XXXXX deed it is possible, however the lender with the mortgage usually pays for insurance on the property as well,

WALLSTREETESQ :

The lender would not have their mortgage paid,

WALLSTREETESQ :

They do not keep properties, they rather sell them to get the note off the books

Customer:

the lender though cannot sell the property if I am the owner of record, correct?

WALLSTREETESQ :

they can foreclose as the mortgage was not paid, you can sell it, but need mortgage approval,

WALLSTREETESQ :

they would not be able to sell it without your signing off the deed

Customer:

Wow, I could be liable forever... Ok, thanks for your help

WALLSTREETESQ :

I would contact the lender and advise them you want to do a quit claim deed this way they save money on a foreclosure,

WALLSTREETESQ :

Or you can try to short sell the property if the lender wants,

Customer:

That make sense. At least there is something in it for them. Thanks again.

WALLSTREETESQ :

good luck, and if you have any further questions please do not hesitate to ask.

WALLSTREETESQ :

If satisfied please provide us with positive feedback.

Customer:

Thank you. This is a helpful service and you have been great.

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