Foreclosure after BK

[jessl]

I filed for chapter 7 bk and it was discharged on 12/18/08. I reaffirmed the mortgage on my condo in the bk. I am self employed and since I filed I have lost 2 clients and work for the others has gone down.

Can I walk away from my mortgage? I live in Wisc.

Thanks.

[mrbsf]

...I reaffirmed the mortgage on my condo...Can I walk away from my mortgage?...

Because you reaffirmed the mortgage, you are responsible for the debt just as you were prior to the BK filing. If you decide to "walk away" the bank will foreclose and, depending on your state law, you may be held responsible for any deficiency. This is why it is seldom wise to reaffirm anything in a BK. Best to just retain collateral and continue making payments aka "ride-through".

[jessl]

At the time I filed for bk I thought I would have no problem with mortgage payments (first and home equity.) I have since lost clients.

Would appreciate any suggestions.

Thanks.

[StartingOver08]

I don't know if this is legally possible, but can you reopen your BK 7 - since you were just discharged this month - and now surrender the house/condo?

Also, I thought that you had 60 days after a reaffirmation to essentially 'change your mind' and surrender. However, a motion has to be filed. Contact your attorney right away and ask these questions, it can't hurt to ask.

Maybe one of the moderators knows.