Housing Continues To Limp Along

Housing

Foreclosures, and the housing market in general are not much improved from 2008.
RealtyTrac is a company that specializes in tracking housing trends recently issued a report, much of it bleak. The company is the leading online marketplace of foreclosure properties, making otherwise hidden information available for subscribers. It found that 65 percent of U.S. counties are now worse off than in 2008, and 35 percent are better off, in terms of housing prices and numbers of foreclosures. The report also cites that unemployment is a leading factor in a persons inability to purchase a new home, and states that the majority of homes in the U.S. have lost value.

Bankruptcy is a tool often used to keep ones residence, even when significantly behind on the payments. A Chapter 13 Bankruptcy will propose a plan in which debtors can make up payments over a three to five year repayment period. This allows a person who is about to be forclosed upon to keep their home, continue to make the mortgage payments and “catch up.” A Chapter 7 Bankruptcy is also an attractive alternative for people who want to get out of their personal liabilities owed on an already foreclosed property.

These are complex issues that one should discuss with a qualified and experienced attorney like Chris Wesner Law Office, LLC. We have offices located in five locations throughout the Miami Valley in Ohio at Dayton, Springfield, Troy, Xenia, and Piqua. Call us today for a FREE initial consultation.

11 USC 1121 Provides who may file a repayment plan in a chapter 13 case:

  • The debtor may file a plan with a petition commencing a voluntary case, or at any time in a voluntary case or an involuntary case.
  • Except as otherwise provided in this section, only the debtor may file a plan until after 120 days after the date of the order for relief under this chapter.
  • Any party in interest, including the debtor, the trustee, a creditors’ committee, an equity security holders’ committee, a creditor, an equity security holder, or any indenture trustee, may file a plan if and only if—
    • a trustee has been appointed under this chapter;
    • the debtor has not filed a plan before 120 days after the date of the order for relief under this chapter; or
    • the debtor has not filed a plan that has been accepted, before 180 days after the date of the order for relief under this chapter, by each class of claims or interests that is impaired under the plan.
    • Subject to paragraph (2), on request of a party in interest made within the respective periods specified in subsections (b) and (c) of this section and after notice and a hearing, the court may for cause reduce or increase the 120-day period or the 180-day period referred to in this section.
      • The 120-day period specified in paragraph (1) may not be extended beyond a date that is 18 months after the date of the order for relief under this chapter.
      • The 180-day period specified in paragraph (1) may not be extended beyond a date that is 20 months after the date of the order for relief under this chapter.
  • In a small business case—
    • only the debtor may file a plan until after 180 days after the date of the order for relief, unless that period is—
      • extended as provided by this subsection, after notice and a hearing; or
      • the court, for cause, orders otherwise;
    • the plan and a disclosure statement (if any) shall be filed not later than 300 days after the date of the order for relief; and
    • the time periods specified in paragraphs (1) and (2), and the time fixed in section (e) within which the plan shall be confirmed, may be extended only if—
      • the debtor, after providing notice to parties in interest (including the United States trustee), demonstrates by a preponderance of the evidence that it is more likely than not that the court will confirm a plan within a reasonable period of time;
      • a new deadline is imposed at the time the extension is granted; and
      • the order extending time is signed before the existing deadline has expired

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