anything we can do with our 2nd?

[SMinGA]

Did you reaffirm the mortgage? I'm guessing not. Even if you did - you are not yet discharged so could cancel the reaffirmation if it has been filed. With no reaffirmation, there can be no 'dings' to your credit report for the 2nd mortgage...

You can file a ch. 13 after a ch. 7, but cannot get a discharge on debt in a 13 for 4 years. But the debt would have been discharged already, just not the lien. How that becomes a question for a local bankruptcy attorney!

[ivehadit]

Even if you had a little equity, it wouldn't be worth it.
Think of it this way:
1st mortgage: $180k
market value: $190k

They spend acouple thousand in legal/court fees to foreclose on you, then cut a check for $180k to the first mortage company.
If they can sell it they have about $10k in commision costs to the real estate agency, etc. Provided they can sell it at all... All the time they are waiting for it to sell they are out they $180k they paid the first.

As you can see, its not really worth it. If you are offering 20% of what you owe that is a better deal.

In this example I have wondered if they have to also pay you the homestead exemption ammount, it's a gray area for me I don't quite understand yet.

[Mensa1]

In this example I have wondered if they have to also pay you the homestead exemption ammount, it's a gray area for me I don't quite understand yet.

in a foreclosure there is NO homestead exemption, like used in Bk. So if your property is foreclosed on by a secured lender they get what they can get, up to the balance of what they are owed. Homeowner gets the rest, if any. At least this is the procedure used in most states.

[SMinGA]

No Ivehadit - the homestead exemption comes in part of bankruptcy pertaining to equity. Which is value beyond what is owed among all lien holders.

In a sale/foreclosure - lien holders get theirs before anything can go to the homeowner..