If I’m an owner of a home that was sold on land contract and the purchasers have made all their payments on time, what to do if I recieved a letter stating that they’re filing for Chapter 7?
Get Legal Help Today
Compare Quotes From Top Companies and Save
Secured with SHA-256 Encryption
If I’m an owner of a home that was sold on land contract and the purchasers have made all their payments on time, what to do if I recieved a letter stating that they’re filing for Chapter 7?
What does that mean to me and what will happen to the home?
Asked on December 8, 2012 under Bankruptcy Law, Michigan
Answers:
FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney
Answered 11 years ago | Contributor
I suggest that if you are still owed money on the landlord purchase agreement for the balance of the seller carryback that you consult with a bankruptcy attorney if the buyers stop making payments to you under the purchase agreement.
Under the law, the buyers are required to make payments on the home assuming your loan is secured and if not, you then need to make a moiton for leave with the bankruptcy court to foreclose upon the security for the loan, namely the home.
IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.