Chicago Homeowners Find an Alternative to Foreclosure With Chapter 13
Who wouldn't want to get a $6,500 tax credit this year? Apparently the many folks who can't afford to buy another house, say Chicago bankruptcy attorneys.
In November, the federal government updated its homebuyer tax credit - which was originally meant to help renters buy their first home - to include current homeowners as well. The idea was to encourage homeowners to upgrade to a new house, hopefully stabilizing prices and boosting the sluggish real estate market in the process.
But homeowners aren't biting - mostly because they can't afford to. With unemployment up, home values down and foreclosure looming, homeowners might find better benefits from another strategy: Chapter 13 bankruptcy.
One of the biggest problems is that one-in-three homeowners owe more on their mortgage than their home is worth. Without the ability to sell, how can we afford to buy another house? In fact, many of us can barely afford to stay in our current house.
Instead of jumping into another mortgage, why not secure the one you have? If you're having trouble making your house payment, Chapter 13 can offer a clear solution. Often times, mounting credit card debts make it difficult to pay the bills. With Chapter 13, your payments will be adjusted to an amount you can afford. Meanwhile, you'll be protected from foreclosure.
That's right, Chapter 13 has the ability to legally stop the foreclosure process, even if it's already started. Why wait until the real estate market takes its toll - and your house? Find out if you're a candidate for Chapter 13 bankruptcy at no cost when you try a free one-on-one debt analysis with a DebtStoppers bankruptcy attorney in Chicago.