Does anyone know if Chase is offering cash for keys, and if so how much are they willing to pay? We are only one payment behind, been denied all loan mods and our father is buying a house for us to live in..we will stay a few months.. however long it takes us to find a new place but we would like to see if they will pay us for the hand over of the keys.. Any info out there?
Usually the offer is from the listing agent who comes to your door after the sale but sometimes the lender will offer it. I’ve also heard lots of cases where its offered, homeowner vacates and the check mysteriously (or not mysteriously, depending on how cynical you are) never appears. IF you want a sure bet on a real good chunk of money, just sock away what you would normally pay on the mortgage each month until it sells and you have to vacate. Stick it in a safe deposit box.
Only if its a tenant occupied property do they offer it. But correct depending on what state you are in you can leave payment free for at least 5 month’s with out problem, most states loans go into foreclose at 3 months, and the sale date if not postponed is another 2 months after that. The have different options on modification processes depending on how far behind you are. you could always try HAFA and get the 3k from the government for moving expenses.
We live in CA, I have been doing the modification papers, turned down twice now I have applied for an unemployment forberance.. no response yet, we have only missed one payment. We are planning on leaving before the 3 months, Chase did send us a SS and/or DIL paperwork, should I let them know we do not plan on saving the house or just keep stalling, I would just as well get the 3k from the government as try and postpone leaving. I want to leave as soon as we can find a new place. Do I just ask for the HAFA paperwork?
Well in CA foreclosure does start at the 3month mark. The hardest part about applying is making sure all the forms are filled out to there liking. Its up to you how you want to move forward, you don’t have the option for DIL until you try to do a short sale, ie your property has to be on the market for at least 3months and there cant be a second lien on the property, from another lender and also has to be in move in condition. The amount from the govermenet/ HAFA is up to 3k, but you don’t get that until the house is sold in short sale. If you don’t tell the bank about anything, the only thing that will happens is lots for phone calls, and letters being dropped off at the property. If you do tell them you want a short sale then, then just apply, and normally if you have a offer they will postpone sale date while working on it, depending on investor. The HAFA packet can be mailed to you if you want it, although its on chase.com as well, i think the branch will print it out as well. If ou go to a realtor, they will help you out with it, most of the time they do all the leg work for short sales.
Our father has opened escrow on the house we will be moving to, it is a 30 day Escrow, and we hope to move within 3 weeks after it closes which puts us at almost 2 more months here. We June will be our 3rd house payment missed. Does anyone know if I can contact the mortgage company and get someone on their behalf to hand over the keys to the property. We will be starting our chapter 7 bk in a month or two after we move out. I would really like the responsibility of the vacant property back on the mortgage holder. We want to cancel our homeowners insurance as soon as possible. I know a lot of people stay a long time after they stop making house payments but that process was just not right for us. We would like to end this as soon as possible. Does anyone know how to work with the lein holder to give the property back quickly?
Jeffrey L. Shurtliff reply
Record a Quit Claim Deed at your county recorder, keep the orignal for your records Write a cover letter with your reasons for Quiting Claim and sent the copies to the bank, and the investor. You could wait until you get a Substitution of Trustee instrument and also serve it upon the Trustee by certified mail.
I appreciate your response, I understand the Quit Claim Deed, but I don’t understand who is “the investor” and I also don’t understand the “Substitution of Trustee instrument” I guess the Trustee is the bank? We have made our payments for 12 years, never even been late, the bank would not help us with any kind of modification so we just want to give the house back. Do I notify the bank of the Quit Claim or my intentions prior to doing it? It sounds like it is exactly what we need. Thank you for the information.
Thanks for your question. Although Jeffrey’s suggestion would work if the grantee were willing to accept the title, by law that’s not the way it works. A deed, including a quitclaim deed must be voluntarily accepted by the grantee. Lenders don’t even like to do DILs – it’s a big hassle. So they certainly won’t accept a quitclaim deed. In my county, the recorder will not accept a quitclaim or grant deed for recording without a Preliminary Change of Ownership Statement indicating what $$ consideration is being exchanged for the deed, and signed by the grantee. Why? Because that’s the law. And there is tax revenue involved in a change of ownership. If someone were willing to go through the hassle of trying to get this done, they would need to forge the grantee’s signature, and pay some transfer tax in order to have it recorded.
Instead, I recommend you simply vacate, cancel your insurance, and turn off your utilities. Your desire to relinquish responsibility to the lender ASAP most likely won’t work. Whey would the lender choose to relieve you of responsibility sooner than absolutely necessary. After all most lenders are swamped with REOs and repossessions and are having trouble keeping up. Forget about the idea of relinquishing the keys. Eventually, when the FC takes place, the lender’s asset managment group will change the locks and take possession. BTW, why are you planning to file Ch 7 BK? Do you have judgments against you, or a lawsuit? Just curious. Many folks are filing BK when they don’t really need the protection from anything. BK is a last resort to be used after all other options have failed. Good luck in your move.
Thank you tomeason, I appreciate the information, that is what we will do. I lost my job, we are in our 50′s and are realizing we have no money put away for retirement. We have a few credit cards (about 15,000) we had placed with a debt consolidation company and got taken by, they did not pay them off after we paid them for almost 3 years… we have 3 current credit cards we only owe about 2000 on but we have a 2011 Honda that has 625.00 payments, with me not working we are truly up against the wall with money there is not a spare dime. We thought we would get out from underneath the car, we rolled about 6000.00 neg equity into the car and the payments are pretty high. We are figuring it out now. We may hold off on the bk and see if the credit card people come after us. We were just thinking we should get our out put down as much as possible so we can save for retirement.. kind of a wake up call when I lost my job. Again thank you, do you think I should let the bank know we are vacating the house? If so when should I tell them, and what kind of responsibility do we have if the house should get vandalized after we leave? There are a lot of vacant houses in the area where we live, they get vandalized and squatters move into them all the time. That is what I am concerned about! I guess I worry to much!
Thanks for the update on the details of your situation. I’m sorry you’re in this predicament, but all of us on these boards are in a place we’d rather not be, so you’ve got lots of company. In your process of sorting this out, here’s some things I recommend you consider. Sell your Honda to get rid of that loan. Then buy an inexpensive used car with cash. Work on paying down your existing CC balances to 0, and wean yourselves off using them except when needed in a dire emergency. You decision to hold off on the BK is wise. Most people file for BK because they are just tired of dealing with their problems and want someone else to do it for them. As far as you house, normally I would recommend renting it out after you move to your new living arrangements. However, since your house is in a bad neighborhood with lots of vacancies and houses occupied by squatters, you may have more of a challenge. But, if it were me, I’d do it anyway. Every rental is a good deal at the right price. And your house will be occupied and will be less likely to become run down. I’d stop payment on the loans, the property tax, etc. Since you won’t be paying those, including no utilities, of course, you’ll enjoy easy and immediate positive cash flow. And you will likely enjoy that income stream for many months to come. Please have your insurance company change your homeowners policy to a landlord policy, which by the way, is much cheaper than insurance coverage for a vacant house. For tips on how to delay the eventual FC for as long as possible to preserve that income stream, I recommend you visit The HAMPSTER Wheel Game thread in the Chase forum. If nothing else, you’ll likely enjoy reading it and laugh a lot! Good luck.