Legal Question in Real Estate Law in Wisconsin

. Unlike chapter 13 bankruptcies, chapter 7 bankruptcies only provide short term relief from the mortgage foreclosure process unless the homeowner is quickly able to pay off the loan in full via sale, refinancing, or other means. Exactly how long before the sheriff's sale can be rescheduled will depend upon how aggressive the bank is in attempting to reschedule it. If the bank does not move quickly, the normal length of the stay (freeze of outside litigation) in routine, no asset chapter 7's is roughly 120 days. The stay automatically ends when the court issues the debtor's discharge of debt order and closes its file, so the sale can certainly be rescheduled at that time without any need for the bank request special relief. If the bank does request a lifting of the stay, however, they can succeed in as little as 40-120 days, depending upon whether or not you also hire your attorney to fight any new lift stay litigation which the bank might bring within the bankruptcy proceedings. On the other hand, a confirmed chapter 13 case can freeze the foreclosure permanently and ultimately result in dismissal of the foreclosure case if the homeowner can resume the normal payment, plus catch up the delinquent payments over a five year repayment plan. In chapter 13, adversary proceedings lawsuits in federal court can also be used to permanently remove 2nd mortgages and other junior liens on homes which are already "upside down" on the first mortgage. Increasingly often, banks are also agreeing to loan modifications allowing a reduced payment for upside down homes within chapter 13, via the bankruptcy court's mortgage modification mediation program. Either of these processes requires significant extra effort and legal work, however, and are far from automatic. You will therefore need to make special arrangements with your attorney to commence either. Please remember that my answering your question here does not make me your lawyer and I will not be taking any action on your case. However, you are welcome to contact me at my Racine, WI offer during business hours at 262-633-3090 or email me at [email protected] if you have further questions See me on the web at www.jayknixonlaw.com . Also see over a thousand other legal questions which I have answered at http://www.lawguru.com/answers/atty_profile/view_attorney_profile/jknixon.