1. Take a look at your mortgage.
Start by pulling out your mortgage paperwork and taking a look at it – or talking to a financial advisor or your lawyer so you understand all the details. You’ll want to look not only at how much of the original amount you still owe, but also at any interest, late fees, or other costs triggered by the contract.
Add all of these together to get a sense of what you really owe on your house. This number can help guide your future decisions regarding bankruptcy or other options.
2. Learn more about Chapter 13 bankruptcy.
While a Chapter 13 bankruptcy can require you to pay more of your outstanding debts than a Chapter 7 bankruptcy would, Chapter 13 can also help you save your house. Chapter 13 offers options for addressing underwater mortgage liens and other financial problems that imperil your house. A bankruptcy attorney can help you determine whether you qualify for Chapter 13, and if so, whether it’s your best option for rebuilding your financial future.
3. Talk to your attorney about the changing rules on loan modification.
If you’ve already tried to modify a mortgage or other loan only to find yourself in an endless cycle of sending documentation only to hear excuses from the loan servicer about not receiving or losing it, you know how frustrating the process can be.
Discuss Your Real Estate Questions With A New Jersey Bankruptcy Lawyer
In this situation, talking to a qualified lawyer is essential. Recently, courts in California and other states have begun refusing to accept “but we lost it” as an excuse. Instead, courts are now holding banks and loan services to a duty of reasonable care in accepting and processing paperwork. If you’re in hot water financially in part due to loan modification runaround, your lawyer may be able to help you seek a solution in court.
Speak With An Experienced Residential Real Estate and Consumer Bankruptcy Attorney In Cherry Hill
If you’re uncertain how to take the best step forward in your financial situation, contact bankruptcy and real estate attorney Joel R. Spivack at 856-488-1200 or via his online contact form for a confidential consultation.
The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney/client relationship. If you are seeking legal advice, please contact our law firm directly.