Ok folks, the ball is rolling....
Divorcing, both of us have filed Chapter 7. Had our 341 meetings (mine last week) and everything is moving along. Our lawyer has said it's in our best interest, regardless of the divorce, to walk away from the property. We're officially underwater as of December on the combined mortgage and equity note. We have continued to pay the notes, but this month will be the first of not paying it.
I'm trying to understand what to expect. How will this be looked at in the bankruptcy? We haven't formally surrendered interest in the property (the Trustee asked the s2b-ex if she was staying in the house... she answered yes per our lawyer's instructions. I received no such question), so stopping payment now... does that create a situation with our cases?
How long do I have in the property? As I understand it, Virginia is a non-judicial state and the lien holder can declare default pretty easily. What's the process from there and will the BK cover me default-wise?
Any help or advice would be great. Thanks!
Divorcing, both of us have filed Chapter 7. Had our 341 meetings (mine last week) and everything is moving along. Our lawyer has said it's in our best interest, regardless of the divorce, to walk away from the property. We're officially underwater as of December on the combined mortgage and equity note. We have continued to pay the notes, but this month will be the first of not paying it.
I'm trying to understand what to expect. How will this be looked at in the bankruptcy? We haven't formally surrendered interest in the property (the Trustee asked the s2b-ex if she was staying in the house... she answered yes per our lawyer's instructions. I received no such question), so stopping payment now... does that create a situation with our cases?
How long do I have in the property? As I understand it, Virginia is a non-judicial state and the lien holder can declare default pretty easily. What's the process from there and will the BK cover me default-wise?
Any help or advice would be great. Thanks!