Expert: Terry Leeders - 6/4/2010

Question
Thanks for volunteering! We stopped paying the mortgage in Sept 2009. We filed ch7 in Nov 2009 and were discharged in feb 2010. We includued the house as we were almost $200,000 under water. We have yet to be served any papers on the house. We live in a gated community with a maintenace fee. We are moving out July 1st as even without paying the mortgage and taxes our expenses are sky high and the house needs much work. My attorney is very vague and stopped answering my questions. Since they have not foreclosed yet, what happens if i do not continue homeowners insurance? Will the bank be forced to do it? And what if i do not cut my lawn and pay my maintenance, can the assoc sue me for it or will it ultimately be the banks responsibility? We are in the state of Florida. Thanks in advance.  Steve

Answer
Under the bankruptcy code, you are personally responsible for all assessments that come due until the foreclosure.  You can be fined for any association violation (not mowing the lawn etc). They can sue you, and it is not the bank's responsibility. As for the insurance, as the homeowner, you are responsible for anything that happens, so I would keep it until foreclosure, in case the mail carrier gets hurt or something, for example.