Can I keep my house during and after bk

[BKHELP138]

I am going to file in a few months. I'm not quit ready to give up and still might figure out how to get out of filing but I'm getting ready to file just in case. I am filing chapter 7. Im currently unemployed and lost part of my vision which I had surgery on and it is getting better. Ok back to my question ... I just finished a loan modification and I'm happy with the new payments. I'm current on my mortgage as of July 1st 2010. Since I am unemployed would they take my house away ? I am currently underwater by about 200k. I do not want to walk away and would like to keep my house. I'm told if I keep my payments up, I can keep it. Is this true? Will the TT say anything about me keeping the house. Especially since my income is less than my mortgage payment but I'm very lucky in that my family is helping me pay the house and the house only. I think it is a good thing showing that I do not and would not like to file BK but more than likely will. I owe a lot of money on credit cards and have settled with some the rest are going in my BK. I do not have a car nor need one. I just do not want to loose the house. Thanks this board is a great help !!!

[scorpion35]

I am going to file in a few months. I'm not quit ready to give up and still might figure out how to get out of filing but I'm getting ready to file just in case. I am filing chapter 7. Im currently unemployed and lost part of my vision which I had surgery on and it is getting better. Ok back to my question ... I just finished a loan modification and I'm happy with the new payments. I'm current on my mortgage as of July 1st 2010. Since I am unemployed would they take my house away ? I am currently underwater by about 200k. I do not want to walk away and would like to keep my house. I'm told if I keep my payments up, I can keep it. Is this true? Will the TT say anything about me keeping the house. Especially since my income is less than my mortgage payment but I'm very lucky in that my family is helping me pay the house and the house only. I think it is a good thing showing that I do not and would not like to file BK but more than likely will. I owe a lot of money on credit cards and have settled with some the rest are going in my BK. I do not have a car nor need one. I just do not want to loose the house. Thanks this board is a great help !!!

ok lets see
you are unemployed ,your income is less than your mortgage payment,you are $200000 underwater , but u want to keep your house?
are u nuts?
if u file bk and don't reaffirm u can keep your house as long as u make your payments on time every month.
if u later decide that u no longer want to keep the house u can walk away clear and free and owe nothing
but in your situation i would give up the house.youre nuts if u don't
anyone else agrees with me?

[BKHELP138]

I agree

I agree I might be nuts for keeping the house. The unemployment is only temporary till my eye heals and I can see good which should be in a few months. I worked for half my life to buy a home and I want to keep it. I would settle with my CC companies if I had the cash but I do not. I took on a roommate to offset the payment of the mortgage. Who knows in a few months things might be looking up and I don't file. Or I file and decide to leave the house. I feel bad enough about not paying my CC debt I just could not handle walking away from my house. $200,000.00 upside down on my home doesn't bother me as I want to live in my house and could careless what its value is. I have a killer 30yr fixed rate at 3.5% and with that said I could pay down being upside down 200k quicker than if my home was 200k less.. anyway I probably am nuts and I thank you for your answer ... My CC debt snuck up on me maybe my homes equity will too At the end of the day I can always walk away ....

[IBroke]

It is NOT ALWAYS the best solution to walk away from a house just because you are upside down.

We are upside down by $250K as well but the mortgage we received via HAMP is $1000/month LOWER than rent on a comparable property - so why should we walk away?

These days, you can't simply walk away and by a new property the next day. Those days are gone for the near future.

So if you take your home as a HOME rather than a short term investment, keeping it can also be a good idea.

[tcreegan]

maybe, maybe not

Hello BKHELP138,

Not reaffirming your mortgage in the bankruptcy, staying current on your payments, staying in the house is called a "ride through" Be careful with this;

pro: you are not legally liable for the debt and can walk away in the future
con: the mortgage company is no longer bound by the contract terms, and is not legally required to let you stay in the house.

Different mortgage companies have different policies, some will not do a ride through.

qutoe "I could pay down being upside down 200k quicker than if my home was 200k less."

huh? the math seems fuzzy here....

quote: "I think it is a good thing showing that I do not and would not like to file BK but more than likely will."

Remember a bk is NOT about character, emotions, or good intentions. It is all business and numbers. You will be asked about finances, no personal questions at all.

Employed, unemployed, back to employed, getting money from family, settled some cc debt, not others, reaffirm, not reaffirm.......this all sounds complicated enough that you should definitely get a good attorney (good, not necessarily expensive)

Good luck,

Tom in Colo

[sah2]

I was able to keep my house in Chapter 7 by proving we were underwater - got a CMA from a realtor as documentation. I did not sign a reaffirmation so I am paying as agreed. My husband did not file BK and is also on the mortgage, so I am not sure if that offers us any extra protection.