Our mortgage was discharged via CH7 BK in 2013. It's been nearly four years and we "stayed and paid," never reaffirmed, never refinanced. We are past BK seasoning requirements for FHA and USDA, but since our home is really only worth what we owe we can't sell it without bringing cash to closing. We've considered trying to sell the home subject to existing financing.
From what I've heard, underwriters usually view a subject to sale as a lease, which is subject to seasoning requirements, etc... I was told by one lender that title would have to be held by the buyer for one year and only then would they credit us 75% of the monthly payment to offset the liability. However, in our case, if the note/obligation to repay no longer exists as a result of the bankruptcy, AND we are off title, would underwriters still view us as having an obligation and therefore require us to qualify carrying both mortgages?
Underwriters want to see seasoning in the payments. That's why you need to have your buyer prove at least 12 on-time payments, by having him make payments to a loan servicing agent.
Whether you deliver the title, or not, is immaterial. It's all about demonstrating the buyer's right to buy, and showing an equitable interest in the property, with a seasoned payment history.