Ok I should be filed by Monday, it was rescheduled for a few extra days. My question is most all of my unsecured is business lines, but as for my two rental properties I read that those can be modified by the BK Judge? Is this correct? I think I read Farms, Vacation property, rentals and commercial can be modified...does this mean they can cram down the loans?
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"I'm old enough to know better, but too young to care"
Filed Chapter 7 January 25th 2010
341 Hearing March 4th 2010
Discharged May 10th 2010 -
Yes, they can be modified, but you need to understand what that means.
All you can do is reduce the principal balance to the current market value of the property AND (here is the catch) you MUST pay that reduced principal in full within the 60 months of the chapter 13 plan. Or in the alternative, find a source of lending to buy out the crammed down mortgages (however, that latter suggestion is done in chapter 11's, I haven't really seen it done in a chapter 13).
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