Car Repossessed that was not included in BK Ch 7

[StartingOver10]

Be careful, I notice Florida is in your list of Non-Deficiency states yet the bank can come after the borrower after a foreclosure or ss as long as it is within one year (since July 2013) prior to July 2013 the bank/lender had 5 years. Make sure you speak to a knowledgeable attorney if you find yourself in this position.

http://www.alllaw.com/articles/nolo/foreclosure/deficiency-laws-in-florida.html

[DaveInAZ]

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@StartingOver10 wrote:

Be careful, I notice Florida is in your list of Non-Deficiency states yet the bank can come after the borrower after a foreclosure or ss as long as it is within one year (since July 2013) prior to July 2013 the bank/lender had 5 years. Make sure you speak to a knowledgeable attorney if you find yourself in this position.

http://www.alllaw.com/articles/nolo/foreclosure/deficiency-laws-in-florida.html

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Thanks StartingOver, I edited my post to strikethrough Florida.

And consulting with a knowledgeable attorney for something as important as BK and your home's mortgage is always good advice.

[despritfreya]

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@DaveInAZ wrote:

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@StartingOver10 wrote:

Be careful, I notice Florida is in your list of Non-Deficiency states yet the bank can come after the borrower after a foreclosure or ss as long as it is within one year (since July 2013) prior to July 2013 the bank/lender had 5 years. Make sure you speak to a knowledgeable attorney if you find yourself in this position.

http://www.alllaw.com/articles/nolo/foreclosure/deficiency-laws-in-florida.html

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Thanks StartingOver, I edited my post to strikethrough Florida.

1. And consulting with a knowledgeable attorney for something as important as BK and your home's mortgage is always good advice.

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You also have to be careful in Arizona.

1. If the residential property is lost to a trustee sale, anti deficiency does not apply if the property was in excess of 2.5 acres. See ARS 33-814(G). See also ARS 33-814(H) for construction loans originating after 12/31/14. If anti deficiency does not apply, lender has 90 days post trustee sale to file an action to collect. ARS 33-814(A).

2. Anti deficiency only applies to purchase money loans (full or partial) for 2.5 acres or less under judicial foreclosure therefore, it does not apply if the residential property secures a non-purchase money obligation and is judicially foreclosed. ARS 33-729(A). See also 729(C) for additional limitations for construction loans entered into after 12/31/14. Note: Many HELOC lenders (with true HELOCs or NPMSIs not that 80/20 type garbage) will elect judicial foreclosure when justified.

Bottom line here is that you cannot make a general statement as it relates to a particular state’s anti deficiency law. You need to read each law as the devil is in the details.

Des.

[DaveInAZ]

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@despritfreya wrote:

You also have to be careful in Arizona.

1. If the residential property is lost to a trustee sale, anti deficiency does not apply if the property was in excess of 2.5 acres. See ARS 33-814(G). See also ARS 33-814(H) for construction loans originating after 12/31/14. If anti deficiency does not apply, lender has 90 days post trustee sale to file an action to collect. ARS 33-814(A).

2. Anti deficiency only applies to purchase money loans (full or partial) for 2.5 acres or less under judicial foreclosure therefore, it does not apply if the residential property secures a non-purchase money obligation and is judicially foreclosed. ARS 33-729(A). See also 729(C) for additional limitations for construction loans entered into after 12/31/14. Note: Many HELOC lenders (with true HELOCs or NPMSIs not that 80/20 type garbage) will elect judicial foreclosure when justified.

Des.

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Oh, it gets even more complicated then that. Arizona is one of the few states with both judicial and non-judicial foreclosure proceedings. The non-judicial process of foreclosure is used when a power of sale clause exists in a mortgage or deed of trust. And if the deed of trust or mortgage contains a power of sale clause and specifies the time, place and terms of sale, then the specified procedure must be followed. But, a residence on less than 2.5 acres probably covers 99% of Arrizona mortgages..

"Bottom line here is that you cannot make a general statement as it relates to a particular state’s anti deficiency law. You need to read each law as the devil is in the details."

Agreed. I made no general statement. A general statement would be that if your state is on the list as having Anti-Deficiency laws and Non-Recourse mortgages you can file BK Pro-Se (without an attorney), blindly confident that you can reaffirm your mortgage with no consequences or exposure to liability. I was suggesting instead that if your state has Anti-Deficiency law you should have detailed conversation with a competent attorney on the pros & cons of reaffirming a mortgage if you want to keep the property. Actually, that's a good attorney/client conversation to have in any state.