Valued Member
jenrhi
Posts: 49
Registered: ‎05-11-2011
Re: Chapter 7 already discharged - mortgage not reaffirmed - foreclosure/credit score question

I was actually in this very situation -i filed a chpt 7 and was discharged in 9/08-the house was included. I never signed a reaffirmation but i continued to live in and pay the mortgage payments for a year and half and then made a decision to vacate the house.

 

Its actually to your benefit that they didnt reaffirm the debt because you really can choose to walk away...however, fast forward to present, my house is STILL vacant, they have not even started the foreclosure process, the house is still in my name though the bank is paying the taxes every year. Really this would be all well and good except that I am trying to obtain a mortgage and running into roadblocks because even though the debt was discharged, the deed is still in my name. Its insane to me but banks are slow to move because of the economy, number of foreclosures etc.

 

For me, it was the best move at the time, I could ill afford the payment and too many repairs needed to the house. I dont regret my decision but I wanted to share my story since it does have an impact in the long term.