San Francisco Bankruptcy Attorney - Save my home!
How can bankruptcy help me with my home?
Bankruptcy is effective for dealing with homes in a variety of circumstances, including:
- Catching up if you are behind on your mortgage
- “Stripping” and getting rid of unsecured second mortgages and lines of credit against the home
- Getting rid of other debts so you can afford the mortgage payment
California accounts for the most foreclosures in the United States and has a record number of “underwater” homes, meaning the home is worth less than the amount owed on mortgages.
If job loss, divorce, overall debt or other circumstances caused you to fall behind on your mortgage payments, Chapter 13 may permit you make up the missed payments and continue with current mortgage payments.
If you have multiple loans against your home, we can sometimes get rid of the secondary liens if the home is worth less than the first mortgage. For example, assume your first mortgage is $500,000 and you have a second mortgage or home equity line of credit for $100,000.
If your home is worth less than the first mortgage (less than $500,000), the second lien becomes unsecured, permitting us to strip it off in a Chapter 13. Or perhaps you have a situation where credit cards and other debts accrued to the point that it is interfering with your ability to make a mortgage payment. Chapter 7 or Chapter 13 may offer a solution that permits you to keep your home by getting rid of this other debt.
Please call us at 415-963-4004 to discuss ways to help save your home. We’re San Francisco bankruptcy attorney serving the San Francisco Bay Area.