Filing chap 13 need help figureing out when to do so...

[253BK]

Hi guys and gals I went and talked with an attorney and we have to file chap 13 due to income and having to many things we would want to keep!

My question is we are about 45 days late on all 4 of our homes but current on our cars and credit cards! When do you think would be best to file the chap 13?

Or do you think we would really be better off trying to work our way into a chap 7 to get rid of everything? The problem I see with the chap 13 is the homes we own wont be discharged or am I wrong???

[Itried]

when the time is right for your situation

Good question 235! I am in the same situation as you with an above in the median income and 4 rental homes. I was thinking of doing a 13, but I am also researching an 11 at this point because my secured debt is over the limit. So I am hoping that I can start with the 11 and move it to a 7. I meet with a lawyer on Tuesday that I have to pay $250 for a consultation. He better have some good information for me.

Anyway, back to your question my understanding and I could be wrong is that it is good to file before any of the properties go to the court house steps to be sold in foreclosure. Do this so that you won't have a foreclosure and a BK on your credit report.

Also in a 13 you will be responsible for the overages, what owe in loans - sold price = unsecured debt that will be added to your case. Depending on you pay back situation it will all be accounted for in the trustees payment.

Well that is my 2 cents, if any others have other advise please post!

[isitreal]

Why not sell one of the houses to pay for your debts on the others?

[chpxiii]

Why not sell one of the houses to pay for your debts on the others?

It's possible the values on the houses have tanked.

[Itried]

Correcto Mondo!!

Prices of homes have sank dramatically in California. At one point in the early nineties I would gain about $50K per year!! It was great, now I am losing $30K per year and it is very hard to hold on, no need to through money into something that is not gaining a profit. Today I am seeing the following:

• Negative Equity Values
• More evictions due to economic situation
• Rent not making the full mortgage payment

This spells disaster!!