Keeping your Home after Bankruptcy

One of the greatest concerns that homeowners who meet with me regarding bankruptcy have is whether they can keep their home after filing bankruptcy. The short answer is, it depends.

Keeping your home depends on how far you are behind on payments, whether the house is upside down (value of house is less than loans) and whether if all the other debts are discharged you will have enough to maintain payments on your house.

Banks do not want to take your home, after all banks are in the business of loaning money not owning property. For many of our clients, once the credit card debt is discharged they will have enough to keep payments current on their house.