FHA Loans, Requirements, & Rates · Money Forum · Gold · Ways to Save Money · Job Boards · Job News ... The offer is contained in a Chapter 13 bankruptcy plan Hart has filed in federal court. The vast majority of that debt is unpaid federal income taxes ... Hart Offers Tax Settlement
www.ventureloanapp.com Chapter 13 bankruptcy may limit your ability to obtain mortgage financing. FHA allows you to be eligible for mortgage finance if you have paid the last 12 payments on time. Venture Development is a MN mortgage broker.
http://leafgardenpress.com/ FHA loans for Individuals in Chapter 13 bankruptcy in Minnesota
Chapter 13 bankruptcy is a repayment plan, sometimes called a "wage earners'" plan. It allows people that have a regular income to repay all or part of their debts. With a chapter 13, a repayment plan is proposed that will make payments to the creditors over a three to five year period. The court will approve the plan, or revise it based on the debtor's situation and eligibility. A chapter 13 also has its own advantages compared to a chapter 7.
The Advantages
There are several advantages that a chapter 13 offers over a chapter 7. One of the most significant advantages is that a chapter 13 allows people the opportunity to save their homes from foreclosure. A chapter 13 can stop the foreclosure process and may resolve past due mortgage payments. A chapter 13 also allows the individual the ability to pay other secured debts they may have incurred over the span of the bankruptcy (3-5 years).
This may also lower the monthly payments of those debts. This chapter may also protect co-signers of those debts. The final advantage of a chapter 13 is that it acts as a consolidation loan. This means that the debtor will make payments to a trustee overseeing the bankruptcy and distribute those payments to the individual creditors. As a result the debtor will have no contact with the creditors which may prevent many financial headaches in the long run.Eligibility Requirements
A chapter 13 is, however, not for everyone. There are several eligibility requirements that the debtors will have to meet. The first is that the unsecured debts must be less than $ 336,900 and the secured debts must be less than $ 1,010,650 (11 U.S.C.
§ 109(e)). These amounts are changed periodically due to changes in the consumer price index and inflation. A person is not eligible for a chapter 13 if, in the past 180 days, a prior bankruptcy petition was dismissed due to failure to appear in court, comply with orders, or was dismissed voluntarily after the creditors sought relief from the courts to recover property which the held liens upon (11 U.S.C. §§ 109(g), 362(d) and (e)). The debtor must have also, in the past 180 days, attended credit counseling from an approved credit counseling agency to file any kind of bankruptcy (11 U.S.C. §§ 109, 111). Any debt management plan made during credit counseling must be filed with the court.To learn more about chapter 13 bankruptcy and how to file one visit Randolph Goldberg or US Bankruptcy Court.
A chapter 13 is defiantly a long process, but unlike a chapter 7, you get to keep all of your personal property. Although you should always sit down with an attorney and look at all of your options before filing any kind of bankruptcy to see if there is any other way to resolve your debt problems.
More Chapter 13 Bankruptcy Explained ArticlesQuestion by : Mortgage Refinancing while making Chapter 13 Payments? In November 2010, my wife and I filed for Chapter 13 Bankruptcy. Since then, we have been making payments to our trustee without fail. Additionally, we are paying back the full amount of what we owed sans interest and penalties. Given the historically low interest rates, my wife and I would like to refinance our condo. However, besides getting approval from our trustee, we will need to find a lender who is willing to work with us to get it done. Like so many others, our condo is under water, but we have always paid on time. Our current mortgage is FHA insured and has an interest rate fixed at 5%. If possible, we would like to get another FHA loan with a fixed interest rate that is lower than what we have now. We are not interested in any adjustable rate products. Reply if you can help. Best answer for Mortgage Refinancing while making Chapter 13 Payments?:
Answer by Something Else
Not going to happen. Try your current mortgage holder. If they won't do it then no one else will. Underwater then you need to bring Thousands to the Closing.
Answer by M W
That isn't going to happen. Even if you did find a lender to give you a new mortgage, you would have to come up with the difference between a current appraisal and the loan balance you now have. Add to that closing costs, recording fees, etc. Even if you did get a mortgage with a 3.5-4.0% rate, it would make a very small difference in your monthly payment. Forget it, continue to pay the mortgage you have and wait for the market to improve. It's like paying on a brand new car. The minute you drive it out of the showroom, it's worth less that you paid for it, and you owe more than the trade in value, but you continue to pay until the loan is paid off.
Answer by STEVEN F
You are CURRENT:Y in bankruptcy, That would make refinancing next to impossible. You owe MORE than the value of the home. That would make refinancing IMPOSSIBLE, even without the bankruptcy, unless you bring CASH to the table to bring the loan amount under th appraisal. Good luck getting the bankruptcy trustee to allow that.
Answer by A Hunch
To refinance you have to have 20% equity. To get 20% equity in the home that is underwater, you need to make up the difference between the house value and the current loan = I'm sure you don't have that kind of money lying around. Refi is not going to happen - see how much your bankruptcy is costing you. Expect that to go on FOREVER. Long after the BK is off your record, the lender can ask if you have ever filed BK = you have to answer yes, because you have = the lender can adjust the approval, downpayment amount, &/or interest amount because of it.
