What happens if I sell my house during Chapter 7?

How soon after Chapter 7 can I sell my house?

The time can be as brief as six months or as long as two years. Also, you might live in a state wherein the courts have concluded that the Chapter 7 trustee cannot collect the sales proceeds even if the state law exemption period has expired.

How much equity can I have in my home and still file Chapter 7?

Some allow you to protect as little as a few thousand dollars in equity. In another, you can exempt up to $500,000, or even the entire value of the real property. But most states fall between these extremes. You can learn more about exemptions in all 50 states in Bankruptcy Exemptions by State.

Can I give up my house in Chapter 7?

If you don’t want, or cannot afford, to keep your home, you can surrender it in Chapter 7 bankruptcy. If you don’t want to keep your house when you file for Chapter 7 bankruptcy, you can surrender it (give it back) to the lender.

What happens to home after bankruptcies?

If you kept your house throughout the bankruptcy process, you are free to keep your home after the bankruptcy – as long as you continue to pay the mortgage. It may be that after you are free of all the rest of your debt you will be able to afford the mortgage payments easily. If so, you’ll be able to keep your house.

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Can I keep my house and car in a Chapter 7?

Chapter 7 bankruptcy allows you to keep your home if 1) you are current with your mortgage payments when you file for bankruptcy, and 2) your state laws approve of the bankruptcy exemption. … Regarding your automobile, most chapter 7 cases allow you to keep the vehicle if you are current with payments.

How much equity can you have in your house and file Chapter 7 in California?

When Debtors Can Keep a House Under Chapter 7

Most debtors fall under the system of exemption that is available for those who are earning regular monthly income. If debtor earns monthly income, then, the house or real property must have an equity of no more than $20,725.

What will I lose in Chapter 7?

Filing Chapter 7 bankruptcy wipes out most types of debt, including credit card debt, medical bills, and personal loans. Your obligation to pay these types of unsecured debt is eliminated when the bankruptcy court grants you a bankruptcy discharge.