Advice

[gordeans]

I recently filed chapter 13 on my own. Years ago i purchased a home with my mother. i moved out and she refinanced removing me from the loan, which i thought would also meant removing me from the deed. I just found out I am still on the deed. I don't want the trustee to think i am hiding assets. I need to know how to list the property in the schedule.

[justbroke]

You should retain an attorney.

Depending on your State, how you titled the property, and how exemptions work in your state, any equity in the property may be at risk. Since Maryland has no homestead exemption, it will be important to determine how much, if any, equity there is in the property. This could even get more complex for several reasons. You probably have it titled as tenancy in common (with right of survivorship), giving you 50% of the property value now.

Since you are on the title, but owe nothing (you are not on any promissory note), the Trustee may go after 50% of the value of the home, even if your mother has a loan on the property. Even more complex is if she mortgaged the entire value of the home and the creditor now gets involved as well, since she mortgaged more than what portion is hers.

You have some homework to do. That is determine what equity there is. Second, to determine how the property is titled. Third, would probably seek out an attorney and beg them to take the case.

The issues are because a bankruptcy includes all of the debtor(s) interest in property at the time the case is filed. Since you legally hold title, this is an issue. Whether the Trustee is interested in attempting to sell your interest in the property and whether your tenancy in common without being on the promissory note, means that your interest in the property is an unencumbered 50% of the value of the home. This could be bad news for your mother.

I just have to say again, that you should seek an attorney. The Trustee is likely to find the property anyhow. You could always voluntarily dismiss your case and then re-group with an attorney. Don't try to play any games by changing the title by doing any quit-claims as those are "avoidable" by the Trustee. I can't tell you if the Trustee will pursue this, but it looks "juicy" to me.

[gordeans]

Thank you for the response. Its just so interesting how it all came about. I filed chapter 7 back in 2004 and i had no idea i was still on the deed until the IRS called to tell me.

[justbroke]

The IRS is one of the best at finding assets. I wish you best wishes that you can straighten this out. Worse case is that if you were in a Chapter 13, you could be required to pay at least the value of your share of the property to unsecured creditors over the duration of the plan. This is likely to make it a 100% plan.

Interesting on the IRS though. Did they file a notice of levy or intent to lien? If they liened the property (your interest in the property), do you know how much it was? Their lien may actually gobble up all your equity anyhow, and what I'm writing may be moot. The IRS would be priority and would need to be paid anyhow.