Short Sale - BK - Questions

[krissy42870]

What is the name of your state? IN

My husband has sucessfully negotiated a short sale on a property he owned with his exwife. His ex filed bankruptcy on the property about 2 years ago. The property has been in foreclosure with a pending sheriff's sale just 3 weeks away. IF we are lucky, the closing on the short sale will occur 4 days prior to the scheduled sheriff's sale.

Two questions

First question: Will his exwife need to sign anything at all closing? (this could prove troublesome)

Second question: How often do the lenders send a 1099-c for the difference?

Thanks!

[nextwife]

Originally Posted by krissy42870

What is the name of your state? IN

My husband has sucessfully negotiated a short sale on a property he owned with his exwife. His ex filed bankruptcy on the property about 2 years ago. The property has been in foreclosure with a pending sheriff's sale just 3 weeks away. IF we are lucky, the closing on the short sale will occur 4 days prior to the scheduled sheriff's sale.

Two questions

First question: Will his exwife need to sign anything at all closing? (this could prove troublesome)

Second question: How often do the lenders send a 1099-c for the difference?

Thanks!

If she is on title, of course she does. A property cannot be sold without BOTH owners signing off.

If the bankrupcy has not been discharged, I would think the Trustee of the BK would have to sign off on the sale.

Has he READ the Scehdule B1 title insurance requirements section? The requirements of who has to sign what , and what docs need to be submitted for review, should be right there on the title commitment!

[krissy42870]

Originally Posted by nextwife

If she is on title, of course she does. A property cannot be sold without BOTH owners signing off.

If the bankrupcy has not been discharged, I would think the Trustee of the BK would have to sign off on the sale.

Has he READ the Scehdule B1 title insurance requirements section? The requirements of who has to sign what , and what docs need to be submitted for review, should be right there on the title commitment!

The bankruptcy has been discharged well over a year ago.

He has not Received the Schedule B1 title insurance requirements as the title work was just order yesterday.

At this point, I do not know if her name is still on the title or not because of her bankruptcy. I am completely unfamiliar with how bankruptcy work.

[acmb05]

Originally Posted by krissy42870

The bankruptcy has been discharged well over a year ago.

He has not Received the Schedule B1 title insurance requirements as the title work was just order yesterday.

At this point, I do not know if her name is still on the title or not because of her bankruptcy. I am completely unfamiliar with how bankruptcy work.

Depending on the type of bankruptcy she filed. If she did not file reorganization then she will have nothing to do with the sale it will all be handled by the trustee. Who did he negotiate this short sale with? I think you may be confued on what kind os sale he has negotiated as a short sale negotiation can take months and most of the time unless the property is in serious need of repair they are not given anyway.