Legal Question in Bankruptcy in New York

real estate/bankruptcy

My husband and myself are in a financial mess. We have judgments against us at this time. We owe fed/state taxes (lien against house approx $8,000) have a home improvement loan ($11,000). We just talked to a real estate agent who said we could sell our home but we won't make a profit. We should make enough $ to cover the cost of closing and pay off the liens and loan.

What if we got an offer but it's not enough to cover the above. Also, do we need to pay off the judgements to sell?

We had another home we owned at the same time we owned this home. The other home was forclosed on (2002)

If we actually sold this home and had a small profit, could we buy a manufactured home which would be afordable or would we be denied due to the other forclosure and bad credit. (this home is not about to be foreclosed on yet. We struggle each month to make the payment.)

Should we consult a lawyer for bankruptcy and keep trying to make it here in this home. Our total debt is approx. $60,000.

Any advice is appreciated. thank you.


Asked on 6/10/08, 5:02 pm

2 Answers from Attorneys
jeffrey lazroe Jeffrey A. Lazroe attorney at law

Re: real estate/bankruptcy

I agree with the other attorney. You and your spouse each are entitled to a $50,000 exemption ($100,000 total) in the value of the property which you can keep. The tax liens are non-dischargeable and you are literally stuck with them. All of your other judgments will be wiped out. We can go to court to remove the judgments against the house.

The chances of you obtaining another house are slim because of the judgment of foreclosue and the tax liens.

Sometimes you are better off bitting the bullett, filing bankruptcy and and cancelling the debts that you can.

My son Matthew, concentrates in foreclosure prevention and bankruptcies which you should consider.

If you would like to consult with this office, please feel free to contact me.

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Answered on 6/11/08, 2:44 pm
Stephen Starr Starr & Starr, PLLC

Re: real estate/bankruptcy

You should consult a lawyer regarding your bankruptcy options. If you would have equity in your home if you didn't have the judgment, in a bankruptcy filing you may be able to avoid the judgment liens on your home to the extent that they impair a homestead exemption. An experienced bankruptcy attorney will know what this means and how to do it.

The foregoing is intended as general advice of interest to readers of this website and is not specific advice for your situation. Facts and circumstances not disclosed in your brief posting may materially affect your rights. You should consult with a bankruptcy attorney.

We help people with these types of problems. Please feel free to call at 888678165 for a free initial no-obligation consultation.

Best regards,

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Answered on 6/10/08, 5:44 pm


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