Bank charged off mortgage?

The bank may have charged off your loan, but I guarantee you they did not release the mortgage lien on the property, and THAT will prevent you from selling the house. They will eventually take possession.

commonly because of the fact doing that could create an incentive for those with an "under water" mortgages to flow into default even though in the event that they might take care of to pay for to make the present funds, in order that they might get a extra suitable deal. that could create further losses for the banks on different mortgages that doesn't have long previous into foreclosure without such an incentive. Ignoring the effects of inflicting extra foreclosure (which you won't be able to do fairly although), you're precise, it makes no economic difference to the economic corporation in the event that they refinance you at modern fee, it somewhat is resembling foreclosing on you, re-merchandising the living house to you at modern fee, and financing that purchase with a clean very own loan (assuming which you will qualify for and take care of to pay for the recent very own loan. Reselling the living house at industry fee to somebody different and then financing the comparable very own loan for him for sure does not exchange the final analysis. the only difference is the call of the owner. in spite of each and every of the hand-waving factors from human beings right here claiming in any different case, there is not any mathematical earnings won with the aid of foreclosing on a single defaulted proprietor somewhat of refinancing him at industry cost, it is only that doing that could create a damaging result on the economic corporation for different mortgages it held. This mathematical equivalency additionally ignores the shown fact that the forecloser won't unavoidably drift the very own loan for the subsequent buyer, yet that doesn't exchange the internet economic bring about finished.

It coudl take years.