"Help" Foreclosure Nightmare?

Question:

My home was in foreclosure and I was able to enter into a forebarance plan with my mortgage company 10 days before the foreclosure sale date. My mortgage company told me the foreclosure sale was canceled because of me obligating the new forebarance plan. Low and behold it was sold and was not stopped because of an error between the attorneys for the mortgage company and the court house. They filed an objection vacating the foreclosure sale and certificate of sale. A hearing date has been set.Can the mortgage company still collect payments from me before the hearing even though someone bought my house at the sale and satisfied my mortgage?

Yes. You are still obliged to pay your mortgage. They are required to place those monies in a forbearance account though.

Often, depending on your state, you are required to only pay the amount of interest due.

I think you have a good case here. The courts don't take likely mortgage companies or banks messing up on primary residences.

They are suppose to be professionals, and not mess up.

Good Luck

You need to consult with an attorney who will look at the specific documents.

Note that if the sale is not vacated then you likely are entitled to a cash settlement as the lender did not deliver what they agreed. It might be their attorney who caused the mistake. The damage to you is still with the lender.

Not paying may break the forbearance agreement. Potentially the funds you should be paying can be put into escrow pending the outcome of the legal action.

The can and will vacate the sale... you need to make your payment plan you agreed to. If you don't they will start all over on the foreclosure.

"Help" Foreclosure Nightmare?

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