Chapter 7 discharge in 10/2010. Wisconsin. Mortgage was never reaffirmed, but monthly payments are being made on time (for now).

I want to move and buy a different home. I don't believe the house will sell as is for the amount that is owed; therefore, I am contemplating "sitting" on the house in order to save the money that would be spent on the mortgage payment.

1.) How soon will it take before I get kicked out?

2.) When the house goes into foreclosure, will that count against me when applying for another home loan?

3.) Does the timeline start at the bankruptcy discharge, or foreclosure?

4.) When applying for a home loan, is there a difference between "foreclosure" and "bankruptcy"?

5.) If I were to apply for a loan right now, would my current mortgage be considered in any kind of way?

You shouldn't be allowed to get a loan for anything. You sound like someone who feels no responsibility to pay your debts. It is people like you who have been a large part of the cause that this country is in this mess. Pay your debts and quit looking for ways to get them so that you can get out of them

Any bad debt after a BK is brutal and no one will give a loan for upto seven years. You are better off leasing the property out in hopes that who ever takes it over will be able to get it financed within a couple of years.

I guess my first question is, are any of these answers from licensed real estate agents?

Mr. Bubba, before you jump to conclusions, I should have you reread the first paragraph where it states all payments are being made on time (thus far). I intended to reaffirm this debt as I intended to continue residing in this home (and I still am). I went under oath and stated my intentions to reaffirm. My lawyer dropped the ball by not following through with this (I later found out that is common for lawyers to either not do it, or encourage their clients not to reaffirm). I have contacted the bank and requested that I again be made liable for this debt, as it is in their best interest that this is done, and I have gotten no help from them. In order for me to held liable again, I either have to refinance (and I am not going to get a better rate than I already have so soon after a BK), or I have to pay about $1000 in court and lawyer fees to reopen my case and have a reaffirmation filed, as that is what needs to be done in order to reaffirm now if the discharge has already happened.

However, if your opinion is based on the mere fact that I filed bankruptcy in the first place, then I suggest you not judge because you have no idea what my situation is.

Right now, I ask (referring to my original post) because I am in a situation where my husband is no longer working, and due to the non-reaffirmation I cannot modify my loan. We are having a difficult time paying the $1300/mo. mortgage, and I've already been informed that "more than likely with the problems it has" my home will not sell for what we still owe.

Soooooo... since I am technically NOT liable for this debt and I can walk away at any time since it was included in the BK, I want to know FROM A REAL ESTATE AGENT, will future lenders look at any of this? If I were to apply for a loan right now, being current, would a lender take into consideration the fact that I am paying on time right now, or will they not look at it all considering I'm not even liable for it? And if they don't consider it relevant right now, will they then do a double standard and hold it against me should I choose to walk away?

I realize this is complicated, and I've gotten straight answers from people who simply know about BK's and foreclosures, but not people in my situation.

Chapter 13 the house is included in protection with ongoing payments.

Chapter 7 you relinquish the home to sell and liquidate for the lender.

Whether you are liable for any debt on it has to do with your state and foreclosure timelines and collection laws.Whether you just have a primary loan or a secondary as well and if that secondary is a HELOC or not.

You can buy in some cases after a BK after 3 years time but usually longer.

This is not legal advice but the short answer is the BK filing drops your score a few hundred points on the credit.With a fresh BK a lender won't touch you for a loan.You will also get dinged with late payments to the mortgage company.

Have you tried for a permanent loan modification?? Many owners I know don't care the property is upside down in value.They care about since the value is gone how low they can get the mortgage payments per month.

So I would try for the loan mod to get monthly payment reduced.The servicer on the loan for the bank usually has multiple loan mods available depending on type of loan you have and the circumstances.

No legal advice.

The lender would still have to foreclose on the home to gain possession of it. You would have a fresh foreclosure that would need to time out a minimum of 3 years before you could get a new loan. The only thing that was discharged in the BK was your note. The bank never owned the house, and they don't own it now. You better believe another lender will care about your fresh foreclosure.
If you could qualify for a new loan including this payment, then you probably wouldn't have trouble making it. You can get a new FHA loan 2 years after a ch7 (assuming you qualify otherwise). SO theoretically 10/2012 you may qualify for a new loan if you can dispose of the existing house without foreclosing or short selling. If you're foreclosing or short selling youre looking at another 2 - 3 yr minimum (from the foreclosure or short sale) til you can get any new loans.
The lender will likely modify your loan, as the new loan is "new debt" and theyll have you back on the hook for the funds. I have plenty of clients who have done ch 7's and still gotten a mod after. Foolish to do as right now they have no recourse except to collect the collateral, but it surely can be done.
Otherwise in order to sell this house and have no short sale or fc you will need to bring the difference in funds to close.

Your current mortgage company is most likely not reporting any of your on time payments to the credit bureau since your loan was not reaffirmed. You need to get advice from another attorney if your attorney who handled your bankruptcy is not willing to help you (you may also want to file a complaint with the state bar association since he failed to process the reaffirmation agreement). The fact that the mortgage company has been accepting your payments most likely makes them legally obligated to accept the reaffirmation. You need an attorney to hit the right buttons to make all of this happen.

If you choose not to do this then, since your note was disharged in a bankruptcy, the mortgage company will eventually foreclose. They just aren't pushing it now because they have so many others who are not making their payments. Once they get caught up you will eventually get nailed. Since your bankruptcy is now discharged that brings to a close that credit event as far as future lenders would be concerned. Any negative information that would be reported on your credit report by a foreclosure today or in the future will be viewed as a second major credit destroying event and will likely make it extremely difficult to obtain any substantial credit for another 5 to 7 years.

You cannot afford to let this thing run it's course. You must be pro-active and head it off now while you are still in good graces with your mortgage company. The few hundred bucks you'll spend on legal advice today will save you much pain and heartache which is surely coming your way if you do nothing. Until this is resolved you can forget about financing another home, it isn't going to happen.