So, if you have a foreclosure and need more information Louisville Foreclosure Attorney about the Kentucky foreclosure process, call my law firm today. I make sure to maintain the best attorney-client relationship. You can count on my services if you’re struggling to find foreclosure lawyers. Also, see my contact information below to get assistance instantly. Unfortunately, the homeowner will owe income taxes for any 1099-c filed after the sale and transfer. By filing a Chapter 7 or 13 before the sale you avoid any income tax debt and any deficiency.

Our attorneys strive to efficiently handle collection and foreclosure cases in accordance with Kentucky law and the local procedures of each county. In many cases, with effort and attention to detail, such matters can be brought to a conclusion relatively quickly and inexpensively. Where novel or complex issues arise in a seemingly routine case, our experienced attorneys and staff are prepared to identify them and deal with them.

If it has, and all your equity is in the first mortgage, then any other mortgages would count as unsecured debt and would be discharged. But what if a third party is the highest bidder at the auction? If they offer more than the amount you currently owe, this results in excess proceeds. This is any amount of money above your original loan or what you currently owe.

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We recommend asking for your lender’s loss mitigation department. They will walk you through the process of pursuing loss mitigation options, such as loan modification. Going up against a mortgage company that is seeking a foreclosure judgment against you is very stressful. Facing the stress of financial hardship is already a prominent stressor, so how long will the foreclosure process last in Kentucky? While every case is unique and should be handled as such, a typical foreclosure should begin and end within 5 months on average. However, this process can lengthen or shorten, largely depending on the actions of the borrower.

While keeping your home might not always be possible, an Attorney can increase your odds of success, and help you minimize the negative impact if you do end up losing your home. Many borrowers are unaware that they have certain rights and protections under state and federal law. Most attorneys are well aware of these protections, and will inform homeowners of their legal rights. Therefore, not only will we inform you of your rights, but we will also help you defend them.

Prior to the foreclosure crisis in 2010, borrowers didn’t have much in the way of protection against foreclosure. In fact, many state and federal laws actually favored mortgage servicers instead of homeowners. However, state and federal mortgage servicing laws have since been updated to provide more protections for borrowers.

Value And Redemption Amount Of The Property

In the following sections, we briefly outline the Kentucky foreclosure process. Generally, loan servicers must provide borrowers with loss mitigation opportunities. They must also strictly adhere to state and federal foreclosure laws. So, if you’re behind on your mortgage payments in Kentucky, you still have options. Understanding the full Kentucky foreclosure process is crucial if you want to save your home and regain control of your finances. Morgan & Pottinger’s foreclosure attorneys handle complex commercial real estate foreclosure and residential real estate foreclosure proceedings throughout Kentucky and Southern Indiana.

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In every state, including Colorado, borrowers have the option to go through foreclosure by judicial sale. In some states, original mortgages are treated as “non-recourse” loans, meaning that, at most, the lender can take ownership of the house in the event of foreclosure, even if it is worth less than the amount due. The bank cannot go after the debtor for the remaining balance once it sells the house. You should consult a Lawyer in Louisville, Colorado to find out if this is the case here. This typically does not apply if the mortgage has been refinanced. In all states in the U.S., including Kentucky, foreclosure by judicial sale is allowed.

For example, a homeowner who misses a mortgage payment is in default. The homeowner can file a Chapter 7 or Chapter 13 bankruptcy up to the sale date, but it must be filed before the sale. The owner loses any interest or rights to the property after the sale happens. Failing to file a Chapter 7 or 13 before the sale also triggers a possible IRS debt.

A Defendant admits the facts of a complaint if a Defendant fails to dispute and fight the foreclosure. It is essential to do a little research to understand the Kentucky Foreclosure Law Process. This includes federal laws such as RESPA, TILA, and the CFPB guidelines.

Under Kentucky law, the mortgage company or servicer will usually make what is called a credit bid. This means that they make a bid on the house for the amount that is owed on it. However, the lender can also secure a deficiency judgment if they are the highest bidder, but they bid less than what you owe. He is a member of the Bankruptcy & Financial Restructuring, Banking Litigation, Real Estate, and Equine Transactional practices.

While you are trying to settle with them and obtain a modification or workout they may continue the process of selling your home. If you fail to use an attorney who guards for this the homeowner gives up several rights. If an answer or motions fail to raise issues and claims the home can be sold while you are attempting a workout with the mortgage company. The Summary Judgment motion is a tool for a quick judgment when an answer admits enough facts to avoid a trial. Default and summary judgments are tools to win the lawsuit quickly. These motions are filed with supporting affidavits and evidence such as payment history, notes, and mortgages.

Schwartz Bankruptcy Law Center is here to help you get your life back. If you can’t reach a solution with your lender, there are other options. You can, for example, try a “short sale,” which allows you to sell your house for whatever amount you can get, and use the proceeds to pay your mortgage. If the house sells for less than you owe, the bank will receive the proceeds of the sale, and the rest of the debt will be forgiven. You may also try a “short refinance” which allows a piece of the debt to be forgiven, and the rest refinanced. This allows the bank to wash its hands of the matter, while taking a comparatively small loss, and allows the homeowner to keep their home.