Legal Question in Bankruptcy in Texas

Selling & Purchasing A Home While In Chapter 13

My wife and I are in a 36 month Chapter 13 plan. We have 5 more months til it is paid off. It was not a 100% plan. We want to purchase a home before our home sells. We will borrow the down payment of 35,000 for the new home from my 401K and we have secured financing. We want to pay it back when our house sells. Our attorney says it is no problem getting a motion to incur debt to buy the house, but that will leave our 35,000 equity in our first home open to creditors. We are afraid that the court might want to take our equity in our first home if it is not sold before we buy our other home. Is there anything we can do?. We are not trying to cheat anyone, just want to make sure everything goes thru on the new house before we sell the old house. Help?


Asked on 7/13/99, 1:05 am

1 Answer from Attorneys
Susan Freiman The Legal Clinic

Re: Selling & Purchasing A Home While In Chapter 13

If you have a lawyer representing you, go with that lawyer's advice. He or she knows you, your situation, the local court, and local practice, and will give you much better answers than anything you can get from the internet.

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Answered on 7/25/99, 8:29 pm


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