Hi bob:
I have a couple of questions:
(1) I assume you got notice that the foreclosure sale is in 10 days, is this right?
(2) Is this a judicial foreclosure or a self-help foreclosure? (in other words, did the bank use the court system to foreclose or are they doing it without the courts?)
Sorry Bob, I'm not trying to make you type a lot more, but I'm still not sure who did the foreclosure, the court system or the bank itself. I can tell that someone sold the house on November 15, 2006, and CitiMortgage bought it (which mortgage companies frequently do), but I don't know if CitiMortgage sold it through a self-help sale or if the court sold it at a sheriff sale. Under North Carolina law, it is my understanding that you may have different rights in regard to whether you can redeem the property depending on whether the foreclosure was through the courts or done by the mortgage company. My guess is that this was a self-help sale since it was transfered by Trust Deed, but I do not practice in a self-help state so the terminology is unfamiliar to me.
Your right to redeem the property may not be relevant if you don't want to save it anyway though. If a person doesn't want to save a foreclosed house, they should generally be out of the house before the deadline expires (in your case before the 10 days). You probably won't owe anything further on the house since if it was purchased by the mortgage company who foreclosed, they in all likelihood bid whatever they were owed, which means they received from the sale the full amount they were owed (even though it was from themselves) so there is no balance left owing (called a "deficiency balance"). This is assuming that CitiMortgage was the only lender.
If you do want to save it, your deadline to do so may have already expired so you may have to move out anyway. But, I need to know what type of foreclosure happened (through the court or by the mortgage company as a "self-help" foreclosure) in order to look at North Carolina law to see if it says you can still redeem it.
(1) Can you please contact CitiMortgage at the number on the letter you just got (or on whichever document you got from them most recently that has a phone number) and ask them if the sale was judicial or self-help? Thanks!
(2) Also, was CitiMortgage the only company with a mortgage on the house? (i.e. was there a second mortgage also?)
Apparently the borrower has a 10-day right of redemption after the sale by paying what is owed to the lender plus any sale costs, submit an upset bid, or presumably by filing a Chapter 13 bankruptcy which will usually cure mortgage arrearage and cancel foreclosure proceedings. However, if the sale was November 15, 2006, then your 10 days right of redemption has expired and I'm not sure if you have any remedy left.
The North Carolina law regarding Power of Sale foreclosures can be found in the North Carolina General Statutes, Chapter 45, Mortgages and Deeds of Trust, Article 2A, at http://www.ncga.state.nc.us/EnactedLegislation/Statutes/HTML/ByChapter/Chapter_45.html .
I suggest contacting a local bankruptcy attorney quickly since they may know of a way you can still file a Chapter 13 to enforce your right of redemption even after the 10 days, but I doubt this is the case. I suggest a bankruptcy attorney not because you will necessarily have to file, but because bankruptcy attorneys usually know most of the avenues to fix foreclosures (if any in your case) and frequently have free consultations.
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Lawyer (JD)
Attorney in practice for 12 years
No problem at all Bob, I'm glad I could help even if the information I found wasn't all that heartening. I would suggest contacting the local bankruptcy clerk and asking them who files a lot of cases there.
The info to contact them is:
Peggy B. Deans Bankruptcy ClerkP.O. Drawer 2807 Wilson, NC XXXXX-XXXX(XXX) XXX-XXXX x143(XXX) XXX-XXXX (Raleigh)
They can't recommend anyone but I think they can tell you who files a lot of cases.