The issues in a 13 post discharge are probably not too difficult but a 13 lasts from 3-5 years.

My bankruptcy was discharged in 2011, the lender FINALLY took posession of the house in March of 2013 (so just over two years now), and I have really made a HUGE change in the way I handle money now. 

The borrower lives in a different state than the collateral securing the notePacer shows that BK 7 was discharged and closed in February of 2015, over a year agoFMV of the property is 1/5 of the UPB on the noteTaxes are current and paid by the borrowerpreliminary O&E shows nothing outstanding on the property besides the 1st lien that I'm contemplating purchasing.The questions:With BK closed, can I contact the borrower directly WITHOUT initiating FC?

You have the discharged military who find this place and decide to reside here (like myself).

W2 for the time being.Mason,You'll need 2013 & 2012 W2's and 1040's (all schedules)Social Security and or Pension award letters detailing monthly award (if applicable)30 days of pay stubs (most recent)2 months on bank statements (most recent)401K, IRA or any reserves that you might (Loan officer might not need this but provide it)DL and SSC copies (front and back copies)Mortgage statements, tax bills, Homeowners insurance and HOA bill (for all Real Estate owned)Complete divorce decree and or BK discharge paperwork (In case you have child support and to verify the actual discharge date)This is a great start and depending on your situation more might be requested.

Further, in all probability the plaintiffs will be able to argue successfully against granting you bankruptcy relief under the provision that liens resulting from fraud are not dischargable in bankruptcy.  

The bankruptcy was discharged in 2010.

I am a Marine Corps veteran recently honorably discharged, looking to make a difficult decision.

The loan may be unenforceable or they may discharge it from the property but remain and unsecured loan, not sure.I suppose a Seller who originated a seller loan who did not comply with the rule could attempt to cure the defect, but it is a tricky concept.

You cannot foreclose while the borrower is in BK and until it is discharged as there is what  is called a "Stay".