Hello, I have a question on filing as I keep reading about a lot of people who are in serious consumer debt and/or mortgage debt, but I have seroius mortgage debt wtih minor consumer debt (well relative to most) so I'm not sure if bankruptyc is right for me. Here's my situation:
Own two properties for which I have three mortgages (one is a HELOC). Mortgages total about $245K. Both properties are currently rented out and neither cover all costs, so I eat about $600/month. Also Combined, I an upside by about $127 (house 1 worth $40K bought for $105K, house 2 worth about $70K bought for $120K) on the loans. Also one of my loans is set to reset soon as it is an ARM. I've been borrowing Peter to pay Paul and see no near resolution with crappy housing market and fear of increased payments. REcently I've been using credit cards to get by and am now in excess of $12K in CC Debt. Here's my concern - I have good credit (720+) and in reviewing multiple blogs, my credit card debt is far from terribe (although I think its pretty bad). On paper, I seem great right now but in reality I'm cutting corners and making all kind of sacrafices to keep that up and Know it's just going to escalate to place where things will get totally out of hand - I'd rather not wait for that day....
Now, I"m not going through a divorce, I ddidn't recently lose a love one or don't have medica bills up the wazoo. And with my good credit situatoin (again for now) and teh fact that I've manage to be able able to stay current on my mortgage payments. I just dunno if I "fit" the bankruptcy profile. My fear of judgements and tax liablity definitely make bankrtupcy seem like an "easy fix" but that doesn't mean it's the best for me, so the quesiton I have is this, Should I:
#1) Try to stick it out?
# 2) SHould I try file for bankruptcy chapter 7 (13 is not an option to you, full forgivenss is the only way it's worth it to me)
# 3) should I just walk away from my homes and take the risk with foreclosures/judgements and waht not siince my cc debt really isn't that high?
Own two properties for which I have three mortgages (one is a HELOC). Mortgages total about $245K. Both properties are currently rented out and neither cover all costs, so I eat about $600/month. Also Combined, I an upside by about $127 (house 1 worth $40K bought for $105K, house 2 worth about $70K bought for $120K) on the loans. Also one of my loans is set to reset soon as it is an ARM. I've been borrowing Peter to pay Paul and see no near resolution with crappy housing market and fear of increased payments. REcently I've been using credit cards to get by and am now in excess of $12K in CC Debt. Here's my concern - I have good credit (720+) and in reviewing multiple blogs, my credit card debt is far from terribe (although I think its pretty bad). On paper, I seem great right now but in reality I'm cutting corners and making all kind of sacrafices to keep that up and Know it's just going to escalate to place where things will get totally out of hand - I'd rather not wait for that day....
Now, I"m not going through a divorce, I ddidn't recently lose a love one or don't have medica bills up the wazoo. And with my good credit situatoin (again for now) and teh fact that I've manage to be able able to stay current on my mortgage payments. I just dunno if I "fit" the bankruptcy profile. My fear of judgements and tax liablity definitely make bankrtupcy seem like an "easy fix" but that doesn't mean it's the best for me, so the quesiton I have is this, Should I:
#1) Try to stick it out?
# 2) SHould I try file for bankruptcy chapter 7 (13 is not an option to you, full forgivenss is the only way it's worth it to me)
# 3) should I just walk away from my homes and take the risk with foreclosures/judgements and waht not siince my cc debt really isn't that high?
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