Chapter 13 bankruptcy is often hailed as an option that will allow you to keep your home. In situations where your home is worth less than the amount of money owed on your first mortgage, you may have the opportunity to eliminate a second mortgage taken on your home through lien stripping.
Contact a San Mateo County lien stripping attorney serving San Bruno to schedule a free initial consultation. We will review your financial situation and help you consider your range of options and determine the route that would be most beneficial.
South San Francisco Chapter 13 and 11 Bankruptcy Attorneys
In California's real estate market, it is common for your home to be worth less than is owed. If the bank forecloses on your home to satisfy your first mortgage, the proceeds of selling your home will generally not be sufficient to cover your second mortgage, leaving you personally liable for the amount of the loan that had been secured by your home.
If you have taken a second mortgage on your home and still owe money on the first mortgage, you may be able to strip the lien of the second mortgage. Lien stripping is available under California law in conjunction with filing for individual Chapter 11 or Chapter 13 bankruptcy that will eliminate personal liability for your second mortgage by converting it to unsecured debt that is eliminated as part of your debt restructuring plan.
Lien stripping is not an option if you have equity in your home and the "second mortgage" is your primary loan.
If you have a second or third mortgage and your house is under water, it is important to work with a knowledgeable San Mateo bankruptcy lawyer who has more than 20 years of experience with stripping second and third mortgages during Chapter 11 and Chapter 13 bankruptcy.
Daly City Mortgage Debt Law Firm
Call our South San Francisco Chapter 13 and 11 bankruptcy lawyers or send us an e-mail to schedule a free initial consultation.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.