Here is another question:

The Bank foreclosed but didn’t take the property and canceled auction on property and started sending me monthly statements. I don’t want the property and told them that, but they told me I can move back in; they stopped paying property taxes and insurance. I was discharged from debt with chapter 7; what should I do?

Additional information: The property is vacant and I was wondering what happens next. I didn’t go to court because I wanted bank to take the property sooner rather than later. is it common for the bank to foreclose then change there mind and not pay taxes or insurance or are they still going to sale the property and try to collect money from me too. I maintain the property and pay water bill on water that was shut off over a year . The city refused to give me a meter because they want the money. Will the bank let the property go for unpaid taxes?

My Answer: It depends on whether you want to stay in the house or not. You should be careful about staying in the property, because there’s no insurance on it. Otherwise, if the sale did not occur, and you have insurance, you can still stay there. You are, however, responsible for maintaining the property regardless of whether you live there or not. Because the bank didn’t finish the foreclosure, it is still technically yours. You can still get fines from the city, etc. Talk to your bankruptcy lawyer to review your situation.

With the new information: Is it common for the bank to not finish taking the property? Yes, unfortunately, there’s no way to “make” the bank take the property back. Will the Bank let the property go for unpaid taxes? Sometimes they do because they don’t keep track of the taxes. But usually they don’t.

Daniel J. Winter
BankruptcyLawChicago.com
djw@DWinterLaw.com
312-789-9999