If a home is found to be uninhabitable and beyond repair after the
sheriff's sale, the lender has foregone any proceeds from another bidder.
Though Moll executives attribute their decision to file for Chapter 11 on the
sheriff's sale (the "main problem forcing it into bankruptcy," according to court documents), the company's financial troubles pre-date the failed sale and legal dispute with Invensys by several years.
Such a windfall could arise if the lender obtained title to the mortgaged property at
sheriff's sale (which might be worth the amount of the outstanding loan), and then pursued the borrower personally for the unpaid loan without giving the borrower credit for the value of the property sold at
sheriff's sale.
The
Sheriff's Sales and Sold Lists are available at http://indy.
The trial court confirmed a
sheriff's sale for $65,500 on December 10, 2012.
At six months after a
sheriff's sale, a third of foreclosed homes are in an extended period of vacancy.
Twenty lower floor condos have been sold since January 2010 when GoldOller Association purchased the building at
Sheriff's Sale, upgraded services and dropped prices.
Further, he wrote, "If a person's home is scheduled to be sold at a
sheriff's sale, only a Chapter 13 bankruptcy can stop it.
Weems' bankruptcy filing forced the cancellation of the
sheriff's sale of Weems' house on North Lookout Street in Little Rock, Hope said.
This week, district officials tried to foreclose on the Ambassador property and force a
sheriff's sale to recover the deposit - which the developers spent to pay their mortgage - plus interest.
Jefferson-Pilot purchased the property through
sheriff's sale this year.
Nicoll argued that because Capital One purchased the property at the
sheriff's sale and later sold it to realize a profit, he was entitled to credit for the full amount paid when Capital One resold the property for $135,000.
