Met with BK Lawyer today

[ScaredINMich]

SIGH...

Looks like we will be able to file for Ch. 7, which is good, but we will have to lose our house because of an $118,000 SBA Loan with a lien on our house.

Husband is feeling relieved about it all, I am freaking out about our credit and our ability to get a house in the future. Since we are going to foreclose on the house, it will be 3 years instead of 2. Double Sigh.

I now am afraid to tell my parents that we are doing this and that we are going to move out of state. Triple Sigh.

[BrokeinMD]

Scared, we've all freaked out about our credit scores. I've come to terms with it just being a number on a piece of paper. I've torn myself up mentally, physically and emotionally for that number, and it's only a number. Keep reading here, you will learn a lot and see that others here could have possibly been in a worse situation and made it through, and even have bought new homes. You'll feel it be bumpy for a while, but you're working your way towards getting yourself out of a messy situation, and it will take you a little while, but you'll get out of it. We've all been there. It WILL get better.

Are you behind on the mortgage, or current? I'm in a 7, and as long as you pay, you can stay. If you walk, that's okay, too. Many on here have. Keep your chin up and keep us posted.

[StrawberrySu]

SIGH...

Looks like we will be able to file for Ch. 7, which is good, but we will have to lose our house because of an $118,000 SBA Loan with a lien on our house.

Husband is feeling relieved about it all, I am freaking out about our credit and our ability to get a house in the future. Since we are going to foreclose on the house, it will be 3 years instead of 2. Double Sigh.

I now am afraid to tell my parents that we are doing this and that we are going to move out of state. Triple Sigh.

Scared, I want to tell you a bit about my financial past, maybe it will give you some comfort. We had a BK7 in 2003, because of a business failure, a former home we had rented out, destroyed by renters, a home we had bought for our DD, SIL, and grandkids that they couldn't pay, and our own recently purchased home that had mold show up all over after we bought it Just a perfect storm of circumstances that led to our demise.

We bought a run down trailer to live in, remodeled it, DH even tore off roof and gave us cathedral ceilings. We were living with housing expenses of $80 a month. Then in 2005 we decided we needed to invest in "real" real estate and bought ourselves a 10 year old nice ranch on 2.5 acres. Life was good, 2 years out of BK and we had a house again! Because a trailer in a park was never going to appreciate like REAL real estate, and REAL real estate ALWAYS appreciates! Granted the payment was $1700 a month, but we refinanced and got it down to $1500 a year latter (and added to the balance owed.) Then we bought a house for our daughter, in 2007. In 2009, SIL got laid off all year. We had to make that payment to save our credit, and eventually had kids move out. We decided to buy a less expensive house for ourselves, and rent out our ranch. Wait, is any of this sounding familiar? Rental of first home, kids can't pay, new home has dropped in value drastically. Oh, but wait the first time we had the failed business. This time we had the failed economy.
And mostly, our own stupidity. We weren't striving to achieve, we just wanted our granddaughters to have a decent home, and thought for ourselves a home purchase would be our "retirement" policy (just think what this will be worth when we retire!)

But we repeated the same mistakes and expected a different result. This time around, things really are different. No more helping the kids, the gravy train is over. No more investing in the Great American Dream. If we buy a home again it will be with cash. Period.

It does feel hard to think "I have to wait 3 years to be settled again". But I am trying to think it's somebody's way of telling me "SLOW DOWN! THINK! Do you really want to do this again?" A coolinf off period, if you will, to reassess your priorities. When the common wisdom out there now is that it is better to wait a few years to buy, maybe it will turn out to be a blessing in disguise.

I hope you take this as encouragement, maybe you can benefit from my mistakes. Oh, and lastly, don't wait too long to tell your folks you are moving. Let them have all the time they can before it happens, because take it from me, finding out when it's a too late is soooo hard! Sending Smiles and best wishes your way!

[tcreegan]

Hi Sacred,

SBA loan..hmmm...can you be a "non-consumer" BK? The more I read the better a non-consumer ch7 sounds, definitely worth checking into.

Tom in Colo