What are the benefits of a Chapter 7 if I am facing a foreclosure?
At a foreclosure auction, it is highly likely that the lender will not sell the subject real estate at a foreclosure auction for the full value of the mortgage. If a property sells at a foreclosure auction for less than is owed on the mortgage, typically the borrower is responsible for the “deficiency.” However a discharge in a Chapter 7 bankruptcy will protect the debtor from the entry of a deficiency judgment. If our bankruptcy attorneys determine that a borrower cannot afford to keep their home, then we will advise that the property be surrendered in the bankruptcy. This will allow borrowers to truly get a “fresh start.” For more information, contact one of our Boston Bankruptcy lawyers today, call (617) 497-7141.
