Under Chapter 13 Bankruptcy, "lien stripping" allows a homeowner to strip away the second mortgage if it is unsecured, the value of the home is under the value of the first mortgage, and the homeowner finishes the bankruptcy procedure. For example, if the value of a home is 300,000 with 80% ($240,000) in the first mortgage and 20% ($60,000) in an unsecured second mortgage, the bankruptcy judge might allow you to strip away the $60,000 and still keep the home, if the value of the home is under $240,000.
Bankruptcy Lawyer In Chicago, Local Bankruptcy Lawyers, Bankruptcy Attorney Dayton Ohio,
The recent financial crisis has dramatically lowered house values across the nation. If you are one of the millions going through such a crisis, you might be able to lien strip your second mortgage instead of having to give up on your house and experience the disarrays of moving and readjusting.
Advantages of Lien Stripping
There are some distinct advantages of choosing lien stripping and Chapter 13 bankruptcy as an option, some of which are:
You remain the owner of the house Build equity as you make payments Accurate valuation of the house Reduced payments Avoid the harshness of Chapter 7 Bankruptcy Improved chances of maintaining credit
It is advisable for you to consider all of your options, including Chapter 13 bankruptcy. Experienced attorneys will thoroughly examine your payments, the amount of time it will take to repay them, and all other issues pertinent to your situation. Decisions such as these can make a big change in your financial security and future. Stock market and housing prices will always fluctuate, but credit will need to be build back up completely if chapter 7 Bankruptcy is declared.
Is Bankruptcy Right For You? Talk to Bankruptcy Attorneys Free and Confidential. Licensed bankruptcy attorneys are available. Attorneys will call you to discuss your case for free. Find out if bankruptcy is right for your situation.
Rating of Bankruptcy Lawyers Phoenix
Get Online Application at online Bankruptcy Lawyer.
0 comments:
Post a Comment