When Can I Buy a House After Chapter 11 Bankruptcy?
Requesting a mortgage after Chapter 11 Bankruptcy can be intimidating. However, you will find that with the help of our team, you’ll find why our clients say we’re the best when it comes to helping them buy a house after Chapter 11 Bankruptcy. The length of time it takes to get a mortgage after Chapter 11 Bankruptcy can differ depending on your unique situation. Typically, there are a number of variables regarding the individual needs and qualifications of the loan request. The most common determining factor limiting access to mortgage for borrowers with a Chapter 11 bankruptcy is how their plan is set up. Chapter 11 plans can be set up with a repayment plan like a Chapter 13 plan or giving back assets/liquidation more like a Chapter 7 plan. This will affect how quickly you will be able to get a mortgage. As this isn’t always a cut and dry situation and we prefer to review the Chapter 11 plan on a case by case basis. In order to determine the best course of action.
Why Should You Choose a Chapter 11 Bankruptcy Over Chapter 13 Bankruptcy?
You should consider a Chapter 11 Bankruptcy over a Chapter 13 Bankruptcy if you’re seeking further flexibility in terms and conditions of the bankruptcy itself. The downside to this greater flexibility of terms and conditions is the Chapter 11 Bankruptcy process will often cost more in overall fees. This can prove to be too much of a cost for some individuals and business owners, and if this applies to your individual case, you should consider a Chapter 13 Bankruptcy over a Chapter 11 Bankruptcy.
Advantages of Chapter 11 Over Chapter 13 Bankruptcy
As mentioned above, there are greater amounts of leeway and flexibility in a Chapter 11 Bankruptcy over a Chapter 13 Bankruptcy. It’s ultimately up to you which bankruptcy route you’d like to proceed with. If you’re not too worried about the overall cost of the process, it would be ideal to choose a Chapter 11 Bankruptcy as you’ll be able to dictate how you’d like to have the bankruptcy proceed as there are no eligibility requirements for a Chapter 11 bankruptcy, while there are multiple requirements for a Chapter 13 bankruptcy. These Chapter 13 Bankruptcy requirements have limits on the amount of unsecured and secured debt so this is something to consider.
Choose Peoples Bank Mortgage to Assist with Your Chapter 11 Bankruptcy
We at Peoples Bank Mortgage are skilled in helping our clients obtain a mortgage with multiple forms of bankruptcies. Let us guide you down the right path with our specialists waiting to receive your inquiry. We’ll be sure to promptly respond and have you on your way to getting into a better mortgage for you. We look forward to hearing from you soon!