Filing for Bankruptcy in Phoenix, Arizona is very circumstantial. It depends on your particular situation if you might lose your home or not. An extensive evaluation by my team and myself would be necessary. Until then, here are a few tips that can help you keep your home.
Make sure to pay the mortgage and homeowners’ dues. If you don’t want to keep your home then stop paying and we will talk about how long you have before the lender can foreclose.
Don’t assume you know the answers – ask an experienced attorney.
In most cases you will not lose your home during your bankruptcy case as long as your equity in the property is fully exempt.
Even if your property is not fully exempt, you will be able to keep it, if you pay its non-exempt value to creditors in chapter 13. However, some of your creditors may have a “security interest” in your home. This means that you gave that creditor a mortgage on the home or put your other property up as collateral for the debt. Bankruptcy does not make these security interests go away. If you don’t make your payments on that debt, the creditor may be able to take and sell the home or the property, during or after the bankruptcy case.
There are several ways that you can keep collateral or mortgaged property after you file bankruptcy. You can agree to keep making your payments on the debt until it is paid in full. Or you can pay the creditor the amount that the property you want to keep is worth. In some cases involving fraud or other improper conduct by the creditor, you may be able to challenge the debt. If you put up your household goods as collateral for a loan (other than a loan to purchase the goods), you can usually keep your property without making any more payments on that debt.
If you cannot bring your mortgage current in a few weeks then try a chapter 13. This allows you to make your new mortgage payment, plus pay extra to bring the missing payments current; usually paid out over a 3 to 5 year period.
WARNING: In Arizona almost half of all chapter 13 cases fail, assuming you work with a very experienced chapter 13 attorney. The failure rate for those not working with very experienced chapter 13 attorney is more than 98 percent.
Schedule a Free Consultation with Your Phoenix Bankruptcy Attorney
When it comes time to file for bankruptcy, you need a compassionate and skilled attorney who will be able to guide you through the process as cleanly as possible. At Phoenix Fresh Start Bankruptcy Attorneys, we can help you with filing for Chapter 7, Chapter 11, and Chapter 13 bankruptcy in Arizona State. We will be there every step of the way to help navigate you through the often-complex and difficult bankruptcy process.
Give us a call at 602-598-5075 to schedule a free consultation with one of our bankruptcy attorneys. If you have any other questions about bankruptcy, one of our attorneys will be more than happy to offer advice on your particular situation.