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Yes, if you are the tenant and are under eviction process, the tenant's bankrupcity filing can delay the tenant's eviction by one week or if the landlord or his attorney are not on top of things, by several weeks.

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16y ago
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16y ago

You file bankruptcy...not the property.

You do not file it on a debt, or an anything. You do not say, that thing that isn't worth anything is bankrupt and I want the court to resolve it, but this asset....the one worth money....I don't want them to touch.

When you file bankruptcy it involves EVERYTHING you own and everything you owe.

ALL your assets and liabilities are involved. They are given different classes....some are classified as exempt.

You do not and cannot pick and chose what you want to be involved.

If you own (more than one) of anything it is involved.

Basically, after the few exemptions, all your assets are used to pay all your debts.

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12y ago

A basic, rough primer:

BK is always done under Federal Laws, in a Federal Bankrutpcy Court. Basically State makes little difference. (Yes the BK Courts operating in certain areas have certain special exemptions and such, minor in the overall, generally intended to make things adhere to the local laws and customs better).

In a personal bankruptcy, YOU go bankrupt. Not a debt, not a loan...not a car...not a this or that. ALL of your assets, of all types, MUST be disclosed and reported in BK, and ALL of your liabilities/debts must be too. No exceptions, no picking and choosing. They are all, always involved in some way.

The court will then order each of them in priorities according to the laws. Some things may be exempt from use or discharge (like your personal furntiure and retirement accounts are exempt and child support cannot be discharged) - and the rest may be used. With one to pay the other. (All possible creditors are contacted and asked to say what they are owed....you may be required to even take advertisments out to make sure everyone is notified).

Any deal you've done for several years is open to scruitiny and review. The court can reverse them, take them out of the BK, or even have them prosecuted as trying to defraud your creditors. (So, no you can't sell your boat to your brother and then declare BK).

Debts secured by an asset (say a car) have first call or right to the money received from that asset. If it isn't enough to pay the debt, the remainder of that sdebt becomes a general or unsecured claim against the BK., and has a chance to payment on that level too (albeit a lower priority than those who have yet to receive anything).

The end/remaining amount that can't be satisfied is generally discharged by the court...meaning you no longer owe it. You get a fresh basically debt free start....many of those you owe don't get paid what they had expected and relied on, if anything.

There are many other considerations too. BK will severly hurt your ability to get credit for a very long time for example. It is on your credit report for at least 10 years...and employers refer to that too, as do landlords and more. Many do not rust people with bankruptcies in their past, especially in the last few years. Many more things.

Not disclosing all items is frequently trie and easily discovered, in which case - as you are swearing under oath to the court you included all info - your case is dismissed, and regularly, fraud charges are pursued. (Courts don't take to being lied to well).

Many seem to fall into the trap thinking that they can trick or change the system. It simply ain't going to happen.The courts, Judges, laws, bankers, all those zillions of attornies, etc, have been through this thousands of times for many, many years. The processes are fairly well worked through and prepared for tricks and games. It is unlikely you would discover one that hasn't been tried a zillion times before! The Cos that claim they can change your record, or make magic happen (either before or after BK), are scams, and getting caught doing something unsavory (intentional or not), other than screwing up your bankruptcy filing, is frequently considered and persued criminally. (Think your financial troubles are bad, try adding in criminal ones).

The legal process and system is demanding even for those experienced with it. Many of your creditors will have an attorney to assure they get as much as possible, even groups of lawyers, who specialize only in bankruptcy. Simply you should/better/need to have one too.

State Laws that Affect Bankruptcy

Each of the fifty states has its own bankruptcy laws that work along with the United States Bankruptcy Code. State laws provide various protections for the bankrupt in the form of exemptions. For example Massachusetts exempts $500,000 for the primary residence. Nevada exempts up to $15,000 for a vehicle with no limit if equipped for the disabled and $550,000 for the primary residence. Wyoming provides only $10,000 in exemptions for real property. You can check the exemptions in your state at the related link provided below.

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14y ago

Bankruptcy applies to la legal person (such as a real person or a company) not to a property. When going bankrupt all the assets of the legal person are liable to be seized to settle the debt.

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11y ago

You can't file bankruptcy "on" any asset. You file for bankruptcy, listing all your assets and debts, to discharge all dischargeable debts. You can surrender an asset such as a second house and get a discharge on any unpaid amount due on a mortgage, while reaffirming the mortgage(s) on the first house.

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15y ago

Yes, we recently filed a chapter 13 and were able to keep both our rental properties. When determining our net worth, both rental properties were used.

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Q: Can you file bankruptcy on a rental property?
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Related questions

Can you keep rental property in chapter 7 bankruptcy?

You may be able to keep your rental property depending on how much it is worth. You cannot have over 35,000 dollars worth of equity in a property in most states. It is best to consult with a bankruptcy attorney before you file.


Does bankruptcy attorney keep rental property income?

The answer to this question depends on whether you are filing Chapter 7 or Chapter 13 bankruptcy. In Chapter 7 bankruptcy, if the rental property has equity, meaning that the value of the property exceeds what is owed on the property, the trustee would almost definitely seize property and sell it to satisfy some or all of your unsecured debts.


Can a property management company file bankruptcy?

Sure.


You are being sued for s unsecured loan of 17000 dollars will chapter 13 bankruptcy stop creditors from taking your rental property?

If you file. It will put a stay on your creditors and they will have to halt there collections. You need to contact a bankruptcy attorney to confirm.


Do you have to declare bankruptcy if you default on your mortgage?

No. If you default on your mortgage the lender will take possession of the property by foreclosure. Whether you file bankruptcy is an unrelated issue.No. If you default on your mortgage the lender will take possession of the property by foreclosure. Whether you file bankruptcy is an unrelated issue.No. If you default on your mortgage the lender will take possession of the property by foreclosure. Whether you file bankruptcy is an unrelated issue.No. If you default on your mortgage the lender will take possession of the property by foreclosure. Whether you file bankruptcy is an unrelated issue.


Can a person keep and file bankruptcy if the home is under any mortgage?

Yes he can file for Bankruptcy if he wants to depending on the situation of his property.


Can bankruptcy be filed on partially own property?

The answer to this really depends on the nature of the property and how it is held (i.e. tenants in common, joint tenancy). You can file for bankruptcy for your personal debts. If the ownership debt is easily severable then it is likely that you would be able to file for bankruptcy and include the property as well.


If you have a home and you are buying a second home for investment is it better to refinance with higher rate or take a home equity loan?

Home equity Loans and Investment properties both come with high Interest Rates. However, if you were to claim bankruptcy with a rental property they would take the rental property and you can keep your home. Homestead law. On the other hand, if you file bankruptcy and have a second lien on your home you are still liable for payment and they would still take you rental property to pay off debt. (If their attorney is smart.) Depends on how stable your income is and if you have a chance of ever claiming bankruptcy. Ask yourself how big of a risk it is to get this investment property?


If you own a rental property in one state that you are upside down on and is currently vacant and unable to rent out but live in another how does that effect your ability to file bankruptcy?

Bankruptcy is a Federal court procedure and law. The location of the things you own make no difference to your ability to file. BK includes ALL your assets and ALL your debts.


If you file a bankruptcy will your holdings in another country be protected?

In a US bankruptcy, you will have to turn over all property of the estate. Out of country assets are property of this estate.


Can a landlord file a police report for damage to rental property?

Yes they can!


If credit card puts lien on house and i file bankruptcy can i still file the credit card in the bankruptcy?

You have to, it is a debt...it is just a secured debt...by the lien on the property.