Typical situation:
1. Bank gets a foreclosure judgment. The Court says your home will be sold in, lets say, 60 days.
2. You move out (or maybe you were never living in the property, if it was investment property).
3. You think it's over. What you don't know, is that the bank has cancelled the sale. Sometimes, over and over. Now, your property is in "foreclosure limbo"...you have a judgment against you, ordering a sale of the property, while you have moved out....but there's no actual sale date. The property is legally still in your name. And this limbo can last for years.
During this time, the property is getting overgrown. Vandals are painting graffiti on it. The pool is becoming a science experiment. The toilets aren't being flushed. The roof starts to leak. It's an eyesore.
And that means, fines from your city, county, or municipality, which YOU are responsible for, as the legal owner of the property. And unlike the bank, which may not be in a huge rush to collect money from you (although they will eventually), your city will be on you like Magic Shell in the Arctic. And the municipal fines are accruing daily...
And your HOA or Condo Association? Well, you owe those also, as they accumulate for years and years. And even if the bank does sell your home one day, you could still be liable for a money judgment for the HOA dues.
And by the way...if you've done a bankruptcy? Well, all those fines and fees and dues that are being assessed after your bankruptcy, are valid, post-discharge debts, not included in the bankruptcy. So you've now got thousands of dollars in valid, non-discharged, post-bankruptcy debt.
So, if you are out of your property, voluntarily or not, don't just assume you're off the hook. Make sure your property has been sold, and if it hasn't, you may want to push the bank to sell your property. The last thing you need is to have injury added to insult by owing even more money on property when you had thought you'd moved on....
Questions? Call me at 954 987-0515 or email me at jasonweaveresq@gmail.com!
