Re: Chapter 13 BK pending, case NOT dismissed, TS sold, this confused me, never happened to me

Maybe the debtor didn’t agree with your equity assessment. Without numbers in your posting it’s hard to judge. Even with numbers I take third party claims of equity estimates with a shaker of salt, as it’s impossible for a third party to actually pin down all the numbers precisely. Crank in interest, penalties, collection costs, advances, taxes, HOA fees, and equity can evaporate faster than water.

If there was equity, why didn’t the debtor sell? Even if there was equity it doesn’t guarantee positive cash flow before taxes. Maybe eliminating the mortgage payment, related expenses, and uncertainty was needed to provide the liquidity to complete the workout plan. Again numbers may have been helpful, as well as details about the workout plan and nature of creditors.

For the garden variety individual bankruptcy usually permission to foreclose is worded as a lift or relief of stay. Usually found in the fine print. No specific “court order to sell” per se. Perhaps format varies among districts.