QUESTION
Will bankruptcy stop HOA from foreclosure of my home?
Asked on Aug 14th, 2011 on Bankruptcy - Virginia
More details to this question:
If I file Bankrupcy chapter 7 or 13 will it stop the hoa from foreclosing my apartment, they have placed a Claim of Lien and served me with hearing papers.
10 ANSWERS
Bankruptcy will not remove a lien or the ability to foreclose on the lien. When you file there is an automatic stay. This means that all actions stop until it is dealt with in the bankruptcy. In a chapter 13 you can force them to take new monthly payments for the old debt. You will still have to keep the new fees up to date.
Answered on Aug 17th, 2011 at 9:32 AM
Bankruptcy Attorney serving Livonia, MI
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Charles J. Schneider, P.C.
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Yes, but it should be most likely a chapter 13 to force them into a repayment plan.
Answered on Aug 17th, 2011 at 5:54 AM
Bankruptcy Attorney serving Hayward, CA
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Carballo Law Offices
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Yes, foreclosure and lawsuits will be automatically stopped when you file a bankruptcy case. The HOA then needs to go to the bankruptcy court to ask for permission to foreclose or wait until your bankruptcy case is over in about three months if you file a Chapter 7 case.
Answered on Aug 17th, 2011 at 5:49 AM
judith runyon
A ch. 13will, because that is a 5year repayment of all your debt, so the hoa souls get paid through the plan. A ch.7will only stop the foreclosure for a couple months.
Answered on Aug 16th, 2011 at 2:25 PM
Bankruptcy & Debt Attorney serving Longmont, CO
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William Edward Zurinskas
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Chapter 13 bankruptcy can stop a foreclosure of your home. The plan must provide for the curing of the HOA default.
Answered on Aug 16th, 2011 at 2:15 PM
Daniel James Wilson
If you file a bankruptcy the court will issue an order to your creditors, including your HOA, prohibiting them from collection efforts. This will buy you some time, but it will not solve your underlying problem. If you cannot afford to pay your mortgage and HOA dues you should start thinking about moving to housing that is within your budget.
Answered on Aug 16th, 2011 at 2:01 PM
A 7 will temporarily stop your foreclosure until a motion for relief from stay is filed and granted. A 13 will allow you to put the rear age in a payment plan to save the house and it will stop the proceedings.
Answered on Aug 16th, 2011 at 12:57 PM
Information provided doesn't create an attorney/client privilege nor constitute an offer of services and is only general responses to hypotheticals
Glen Edward Ashman
It may, but you also need to see what happens AFTER you file. That is why you need a lawyer. Saving the house one day and losing it the next is not a smart strategy. Your lawyer will help with strategy.
Answered on Aug 16th, 2011 at 10:05 AM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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If you are in arrears for homeowner's association dues they can initiate a foreclosure in many instances. Check you agreement to determine whether this is the case.
Answered on Aug 16th, 2011 at 9:55 AM
Bankruptcy Attorney serving Herndon, VA
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Maureen O'Malley
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Possibly. But a claim of lien, if properly filed, is tough to get around. Google NACBA, where there's a list of good BK lawyers in your area.
Answered on Aug 16th, 2011 at 7:45 AM