Bankruptcy gives us power over the mortgage companies
1) You don’t have to lose your house
The goal of a bankruptcy proceeding is to enable you to eliminate your debt while still allowing you to keep your home and other real estate. If you owe more or about the same as what the house is worth, then ur house is not worth anything to your creditors. On the other hand, if you have equity in the property, meaning you would be able to pay off your mortgage AND make a profit by selling the property, then your house is in danger under a bankruptcy because the creditors will try to sell it off and use the profits to obtain their debts.
Our job is to make sue you can keep your house and still successfully file a bankruptcy. We do this by checking if you have equity in the house, and if you do, figuring out strategies that you can have the house anyway. One option is to file a Chapter 13 Bankruptcy instead. (See: [LINK] “Types of Bankruptcy”). Under a Chatper 13, your real estate cannot be taken away. Let the Sexner Law Group help you protect your assets and your home. Contact us now for a free consultation.
2) When foreclosure sale does not eliminate your mortgage, bankruptcy takes care of the deficiency
Imagine you owe $150,000 on a mortgage, when the house is foreclosed and sold for $100,000. You think you are free on the rest of what you owed, right? Wrong! You still owe the remaining $50,000 that the foreclosure did not earn! This is known as a “deficiency judgment”.
A can take care of the deficiency judgment, so you will owe nothing. You don’t even have to wait until the property is sold under foreclosure to start filing for bankruptcy. Contact the Sexner Law Group now to find you how we can help protect your finances.
3) If you are behind on your mortgage, bankruptcy can prevent a foreclosure
Under a Chapter 13 Bankruptcy, if you have fallen behind on your mortgage we can force the mortgage company to accept a payment plan and stop foreclosure proceedings. The Bankruptcy forestalls the payments due so you can resume paying regular monthly mortgage payments plus an extra regular catch-up payment to the Chapter 13 trustee. This arrangement is helpful for people who have gone through some type of temporary setback (such as: illness, loss of work, drop in business, etc. In this way, we both save your house, and give you a restructured payment plan to include any other bills you still owe. That way you have a manageable path to get back on top of your finances. But, you cannot wait! You have to file your bankruptcy before the mortgage company carries out the foreclosure. You must act quickly!
Contact the Sexner Law Group to find out how we can save your home.
Another alternative is, If you feel you are falling behind on your mortgage payments due to other debts you have taken on, a Chapter 7 can help you by getting rid credit card debts, medical bills and many other types of debt . This will enable you to be able to afford your mortgage payments.
4) If I do surrender my house in a Bankruptcy, how long does it take until I am forced to leave it?
If you do decide to surrender your house in a bankruptcy, it is still possible to stay in the house for months while the mortgage company goes through the process of foreclosure and eviction. With foreclosure defense, which The Sexner Law Group also provides, it can even take years.