On Tue, 1 May 2012 16:50:33 -0500, "HeyBub"
wrote:

Doug wrote:
On Tue, 01 May 2012 13:07:19 -0700, Oren wrote:

On Tue, 01 May 2012 12:47:34 -0700, JRStern
wrote:

I'm facing the same question, whether I can or should sell a house
in this awful market or try to rent it out to carry for a couple of
years, and if so just what to include.

Become the banker. Sell the cabin to the renter. If you hold the
paper know when to foreclose.



As long as you know that a bankruptcy can stop a foreclosure dead in
its tracks (well at least in Texas). Going thru this now for the 2nd
time on a house I hold the paper to.

In Texas, a homestead declaration can protect a home from seizure in
bankruptcy or other debt, with three exceptions:
1. Taxes,
2. A loan to BUY the property,
3. A loan to IMPROVE the property.

Florida has the same or similar protections. I don't know about other
states.



I'm the mortgage holder so that qualifies as #2 but the mortgagee also
owes property taxes so while I tried to foreclose and am the first
lien holder, taxes still take priority over my position. Of course
he stopped the foreclosure with his bankruptcy but the bankruptcy plan
still had to include property taxes and my first lien position, then
the rest he owes to others. Just as a side note, there is a meeting
to dismiss the bankruptcy because he's not following the plan to pay
the trustee. Should it be dismissed, I will foreclose. There's a
lot more to this story but it's not needed to say here.