5 Foreclosures- Helppppppppppppp

[downandout]

I live in illinois. I received a letter two weeks ago saying that the foreclosure processed had begun on the home that I live in. I need some advice. I filed chapter 7 four years ago. I have four rental property's that all went in foreclosure. I was able to do a short sale on one and two were sold in a sherrifs sale. The last on will be auctioned off 9/20/07. I really want to keep my home. I was behind on the taxes and insurance and my mortage company paid them. My payment went fron $1,000 to $1900. I got behind. If I do a chapter 13 will I still have to pay $1900 a month? Could I included the rental property also? ( I have a Section 8 tenant living there). And it is a way to get a better interest rate? PLEASE GIVE ME YOUR THOUGHTS. Thank you.

[lrprn]

I live in illinois. I received a letter two weeks ago saying that the foreclosure processed had begun on the home that I live in. I need some advice. I filed chapter 7 four years ago.

As you know, you can't file Ch 7 again for four more years after your first Ch 7 discharge. But as you note, you could possibly file Ch 13 if you show sufficient disposable income on the required Means Test.

I have four rental property's that all went in foreclosure. I was able to do a short sale on one and two were sold in a sherrifs sale. The last on will be auctioned off 9/20/07.

Did you recognize any profit from the property sales in the last six months? Do you expect to see any profit after this last property is auctioned? (I know the answer is very likely no....just want to be sure.)

I really want to keep my home. I was behind on the taxes and insurance and my mortage company paid them. My payment went fron $1,000 to $1900. I got behind. If I do a chapter 13 will I still have to pay $1900 a month?

Yes, you will still have to pay $1900 a month unless you want to try a renegotiation with your lender before filing.

Could I included the rental property also? ( I have a Section 8 tenant living there). And it is a way to get a better interest rate?

Hard to say, D&O. With the rental properties involved and the fairly recent Ch 7, you really need sound legal advice from 3-4 experienced bankruptcy lawyers in your area. Most give free initial consultations. Start making those appointments - you will learn a great deal about what your best options are.

Couple of question for you....if you look back for the last six calendar months, how much income have you earned from all sources, including your rentals? Will this amount stay stable for the coming months? Do you have other secured assets (a car, for example) that you want to keep as well? This can help us sort out if Ch 13 is a realistic possibility for you.