Foreclosure Happens
San Jose Bankruptcy Attorney discusses singer Toni Braxton’s Foreclosure
San Jose Bankruptcy Attorneys handle all aspects in the bankruptcy process, including foreclosujre. A home foreclosure really can happen to anyone. Even superstars fall behind on their mortgages. Singer, Toni Braxton fell behind on her mortgage payment due to financial difficulties and now she has received notice that the bank is going to foreclose on her Century City, California home.
Filing a Chapter 13 bankruptcy proceeding would stop the foreclosure and allow Ms. Braxton to repay her missed mortgage payments and accrued interest over a 5 year plan. While the Chapter 13 proceeding will enable Ms. Braxton to repay the arrears over 5 years through the Chapter 13 Payment Plan, she will need to be able to continue to pay her current mortgage payments post-petition in addition to her plan payments. This is often where debtors get into trouble. They file the bankruptcy to stop the foreclosure, but their financial situation does not improve sufficient to be able to make both payments. This problem is often remedied if there is a 1st and 2nd mortgage on the home. If the fair market value of the home is less than the balance on the 1st mortgage than the 2nd mortgage can be avoided and converted into unsecured debt. Once the 2nd mortgage has been removed from the home, debtors are often in a better position to make their monthly mortgage payments on the 1st mortgage as well as make their Plan Payments to repay the arrears.
If you have a question regarding Bankruptcy in San Jose please contact us at 408.279.2288 or visit www.bkanswers.com and we can connect you with one of our experienced San Jose Bankruptcy Attorneys. After you have spoken with one of our San Jose bankruptcy attorneys we can schedule you a free face to face appointment in our office location nearest you. Our team of San Jose Bankruptcy Lawyers can assist you with all aspects of your case. If you have questions about filing a chapter 7 bankruptcy, a chapter 11 bankruptcy, a chapter 13 bankruptcy, lien stripping, cram down, stopping a foreclosure or wage garnishment, discharging debt, etc. we can help! We have bankruptcy attorneys located throughout California who can assist your financial needs. Please feel free to complete our free bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy.
