Will Fling Ch. 7 Eliminate my Mortgage?
I recently had to take on the care of an ailing family member and my income dropped drastically. I now am facing filling Ch. 7 BK, but I want to know if I will lose my home or if I can eliminate my mortgage. Otherwise, maybe a refi...? My credit is good, 686. My income $68k/year. I do have a lot of debt however, because i had to live off credit for almost a year so I am in the process of paying down ($4,500/mo in debt/bills monthly). thanks! by JWiggians_linemng... from Buckhead, Georgia. Jul 31st 2018
William J Acres (William_Acres)
#74 ranked lender in Arizona - 8,728 contributions
If you just filed Ch 7, then there wont be an opportunity for you to refinance for at least 2 to 3 years. You cannot keep your home if you don't make the payments,, regardless of filing Ch 7 or not.. Filing BK does not reverse the contract you singed by using the home as collateral for the mortgage.. if the home is foreclosed in auction and doesn't sell for the outstanding balance, then by filing BK, you wont be responsible for the deficit.. but if you continue to make the payments, you can keep your home. Also, once the BK hits the credit report, expect your credit scores to drop significantly.. if after the BK you have rebuilt your credit and you have met the mandatory waiting periods, you can apply for a new mortgage. I'm a preferred Lender with California and Arizona being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com NMLS# 226347 / LendUS, NMLS 1938/ AZMB0121893
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