Plantation fails to sell at foreclosure auction

On behalf of The Rollins Law Firm posted in http://www.therollinsfirm.com/blog/foreclosure/" Foreclosure on Thursday, September 26, 2013.

Mississippi residents might be interested to learn that even historic properties worth a lot of money can go into foreclosure. That was the case recently with a famous plantation that fell into foreclosure and went up for auction.

However, no one except the lending bank bid on the historic Chinqua Penn Plantation located in Reidsville, N.C. Moreover, not even the bank's representatives attended the auction on Sept. 18 held on the steps of a county courthouse. The bank's bid of $1.4 million was registered before the public auction. With no other bidders, the property went provisionally to the holder of the mortgage. Even so, there is a 10-day period in which any interested party can buy the property if they top the bank's bid by 5 percent.

Chinqua Penn was once referred to as an "American Treasure." The state owned the property for many years, using the mansion and grounds as a tourist attraction and renting it out for weddings and dinners. According to reports, a couple who owned several small cigarette-making companies bought the landmark from the state university system in 2006 for $4.1 million with plans to restore the property. However, they had legal trouble, which caused financial problems. Among other things, the mortgage lender filed a foreclosure action. In addition, the couple ended up filing for bankruptcy.

People can fall behind on their mortgage payments for many reasons, because of health-related expenses or because they lose their job. An attorney with experience in bankruptcy matters could help someone obtain immediate debt relief and might be able to delay foreclosure proceedings by filing for bankruptcy. Such an attorney may be able to assist people in preparing the necessary full disclosure forms that are required by such a filing.

Source: News & Record, "Auction of Chinqua Penn plantation fails to draw interest", Brad Kesler, September 20, 2013

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