Can I reaffirm my rental properties if they are current and they have no equity?

I am out on long term disability due to shoulder surgery. I live in a home in Illinois, maybe $5000 equity. I rent out a small home down the street, $400 monthly income…maybe $5000 equity. I own a home in Florida, minus – equity…owe $160,000 worth about $130,000 now. All mortgages are current. Can I reaffirm them in Chapter 7? Have a car $13500 worth 8,000…and about $22000 in credit card debt. Any direction appreciated. I have a potential renter for the FLorida home that would cover all of my costs.

Asked on June 15, 2009 under Bankruptcy Law, Illinois

Answers:

Ben Schneider / Schneider & Stone

Answered 11 years ago | Contributor

You will be able to reaffirm all of the debts you are referencing as long as they are not considered undue hardships and each secured creditor accepts the reaffirmation. I hope my answer is helpful, please contact my office for a free consultation if you have any other questions.

Ben Schneider / Schneider & Stone

Answered 11 years ago | Contributor

You will be able to reaffirm all of the debts you are referencing as long as they are not considered undue hardships and each secured creditor accepts the reaffirmation. I hope my answer is helpful, please contact my office for a free consultation if you have any other questions.


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