Can you file for bankruptcy and keep your house?
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Yes, it is possible to file for bankruptcy and keep your house, although the specific details will depend on the type of bankruptcy you file and the laws in your state.
In a Chapter 7 bankruptcy, you may be able to keep your house if the value of your equity in the property is protected by your state’s homestead exemption. This means that if the value of your equity in the house is less than the amount of the homestead exemption, you can keep the house. However, if the value of your equity exceeds the homestead exemption, you may have to sell the house in order to pay off your creditors.
In a Chapter 13 bankruptcy, you may be able to keep your house and catch up on past-due mortgage payments through a repayment plan. Under a Chapter 13 bankruptcy, you can propose a plan to repay your debts over a period of three to five years, during which time you will be protected from creditor harassment and lawsuits. As long as you make the required payments under the repayment plan, you can keep your house.
It’s important to keep in mind that bankruptcy is a complex process, and the specifics of how it will affect you and your property will depend on your individual circumstances. It’s a good idea to speak with a bankruptcy attorney to get more information and guidance on your options.
If you need assistance with filing for bankruptcy, give the Law Offices of Chirnese L. Liverpool a call today at (818) 714-2200. I have a limited amount of appointments available, so please contact us immediately to get started with your new debt free future.