Can I still keep my home if I file for bankruptcy?

When someone files for bankruptcy, whether they can keep their home largely depends on the type of bankruptcy they file and their specific financial situation. In most cases, if a homeowner files for Chapter 13 bankruptcy, they have the opportunity to create a repayment plan, which allows them to catch up on missed mortgage payments and keep their home. This type of bankruptcy is designed for individuals with regular income who can manage their debts over a specified period, usually three to five years. On the other hand, if a homeowner files for Chapter 7 bankruptcy, which involves discharging most unsecured debts, the outcome can be different. In Chapter 7, the bankruptcy trustee may sell non-exempt assets to repay creditors. However, many states provide homestead exemptions that can protect a certain amount of equity in a home, allowing individuals to keep their property under specific circumstances. It is important for individuals to carefully consider their financial situation and the potential impacts of bankruptcy. They may also want to look for information on the Nationstar Mortgage Bankruptcy Department's web page regarding their options and find detailed guidance specific to their circumstances.