You must keep making your mortgage payments. As you probably know you don't actually own your home the bank or lender does. Until the mortgage is paid off the lender has the right to foreclose if you miss your mortgage payments.
Chapter 7 bankruptcy doesn't change this, although it might pause the foreclosure for awhile.
If you currently "own" a home it's important that you hire an experienced
bankruptcy attorney. Attorneys can help you with filing for
bankruptcy and know
the law. Why should you take the risk of losing everything you own to creditors
when you can contact an attorney to take care of it for you.
Liens on your home
Chapter 7 bankruptcy won't eliminate liens on your home that were created with your consent or certain nonconsensual liens (such as tax liens or mechanics liens). If you've pledged your home as security for loans other than your mortgage those creditors have claims against your home.
Keeping Your Home
Unafortunaly, even if you pay your mortgage payments you can still loose your home unless a homestead exception protects your equity. If you were to sell your home today, without filing for
bankruptcy, the money raised by the sale would first go to the mortgage lender then to lienholders to pay off the liens, and finally to pay off the costs of sale and any taxes due. If there is anything left over that's yours to keep.
There are other circumstances that might cause you to loose a home. Such as;
- If you're behind on your mortgage payments.
- Bankruptcy Caused by a divorce.
- The worth of your home is less than what you owe.
All or any of these conditions might apply to you, which is why it's important for you to hire someone to handle your bankruptcy. Our
bankruptcy attorneys have helped thousands of people who were in your exact situation. At the Law Offices of
Marc Grossman we have the knowledge and know how to get you through this difficult time in your life and will fight for you every step of the way. Why wait?
Contact Us Today for a Free Initial Consultation.