Insurance, taxes, utilities during/after foreclosure - Loan Modification Forum

azpoor · 04-23-2009, 10:23 PM

Since my payment included my homeowners insurance and property taxes how do I make sure they are paid? I don't want a tax problem with the county and especially am worried about a damage, etc issue with house and not having insurance coverage during the foreclosure process. Also, once the auction sale has occured and you move out, when should you cancel utilities like electricity and water and insurance?

The Professor · 04-24-2009, 06:28 AM

Your fire insurance is paid on an annual basis. When is its renewal date? As to the real property taxes, I wouldn't worry. Ultimately, after the foreclosure, the purchaser at the foreclosure sale will have to pay the delinquent taxes. You won't get in trouble with the County over non-payment.

Daniel

azpoor · 04-24-2009, 10:27 PM

I assume by fire insurance you mean my homeowners insurance. Correct? I think renewal might be in August or September; we closed on the loan/house in August 07. We haven't missed any payments yet but May could be the first month. We could stay in the house if we do what we are doing now(no eating out, no activities, no family visits, no anything) but if we decide to have a child within the next 5-10 years I feel we would just be screwed and foreclosed on at that time. (And I'm pushing 40 and can't see having a 1st child in mid forties) It seems walking now, paying off debt, renting for 4-5 years and starting a family and not stressed every day might be worth the credit damage.

04-23-2009, 10:23 PM	#1 (permalink)
azpoor Senior Member Join Date: Apr 2009 Posts: 60 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Insurance, taxes, utilities during/after foreclosure Since my payment included my homeowners insurance and property taxes how do I make sure they are paid? I don't want a tax problem with the county and especially am worried about a damage, etc issue with house and not having insurance coverage during the foreclosure process. Also, once the auction sale has occured and you move out, when should you cancel utilities like electricity and water and insurance?

04-24-2009, 06:28 AM	#2 (permalink)
The Professor Senior Member Join Date: Jul 2008 Location: 49er Gold Country Posts: 1,543 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Insurance, taxes, utilities during/after foreclosure Your fire insurance is paid on an annual basis. When is its renewal date? As to the real property taxes, I wouldn't worry. Ultimately, after the foreclosure, the purchaser at the foreclosure sale will have to pay the delinquent taxes. You won't get in trouble with the County over non-payment. Daniel

04-24-2009, 10:27 PM	#3 (permalink)
azpoor Senior Member Join Date: Apr 2009 Posts: 60 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Insurance, taxes, utilities during/after foreclosure I assume by fire insurance you mean my homeowners insurance. Correct? I think renewal might be in August or September; we closed on the loan/house in August 07. We haven't missed any payments yet but May could be the first month. We could stay in the house if we do what we are doing now(no eating out, no activities, no family visits, no anything) but if we decide to have a child within the next 5-10 years I feel we would just be screwed and foreclosed on at that time. (And I'm pushing 40 and can't see having a 1st child in mid forties) It seems walking now, paying off debt, renting for 4-5 years and starting a family and not stressed every day might be worth the credit damage.

Thread Tools
Show Printable Version Email this Page
Display Modes
Linear Mode Switch to Hybrid Mode Switch to Threaded Mode