What happens to my house if Chapter 7 is over?
Also, after filing Chapter 7, can I still keep my house?
If they are current on their mortgage payments, and have no equity, most Chapter 7 bankruptcy filers can retain their home. If there is significant equity the trustee can use for creditors, it is likely that a Chapter 7 bankruptcy debtor will lose their home.
What happens to my house if Chapter 7 is completed? This is why you should not be late on your mortgage payments. Your debts will be discharged when you file a Chapter 7 bankruptcy. This includes your mortgage loan. Even though you are not liable for your mortgage, the lender still holds a lien on the property. Chapter 7 bankruptcy doesn't get rid of these liens.
You may also be interested in knowing how long you can stay in your home after you file Chapter 7.
Depending on where you live, you might be able to stay in your home for up to six months after your Chapter 7 bankruptcy is finalized. After your bankruptcy has been discharged, will have to search for a new place to live. You may not have to move out of your home immediately.
What happens to my mortgage when I file Chapter 7 bankruptcy?
A mortgage is a secured loan. Filing Chapter 7 bankruptcy does not erase the mortgage lien which allows the lender to foreclose if your defaults in payment. Chapter 7 bankruptcy doesn't allow you to catch up on overdue payments.